Shanghai Enterprises Pharmaceutical Ltd. (SEPL), a listed company at the Shanghai Stock Exchange, announced on May 16 that it will raise CNY 1,515 million through issuing new shares to acquire all pharmaceutical businesses of its parent company, Shanghai Enterprises Group (SEG).

The move is part of SEG’s plan to consolidate its pharmaceutical assets into SEPL.  Assets to be acquired by SEPL include 55% equity of Chaitai Qingchunbao Pharma, 51% of Huqingyutang Pharma, 61% of Xiamen Traditional Chinese Medicines Factory, 55% of Liaoning Haohushi Pharma, and 29% of Hangzhou Huqingyutang Guoyaohao Ltd.  All of them are leading or major companies specializing in traditional Chinese medicines.

Following this restructure, SEPL will own 38 nationally-protected TCM products, and 93 other TCM products on the national essential drug list.