Guangdong Kangmei Pharmaceutical To Set Up Subsidiary For Ginseng Business
This article was originally published in PharmAsia News
Executive Summary
Guangdong Kangmei Pharmaceutical will establish a wholly owned RMB 400 million subsidiary in Ji'an city, Jilin province to serve as a platform to complete the company's plan in the main ginseng-growing area and extend its network. With registered capital of RMB 100 million, the new set-up will mainly focus on the ginseng business, class II and III TCM, as well as local herbal planting and processing. In addition, the subsidiary plans to buy out Ji'an City Xinkaihe's assets and liabilities with less than RMB 200 million. Xinkaihe is an ginseng farming, processing, sales and R&D company. Kangmei believes the move will further optimize its resource allocation and increase revenue by RMB 120 million - 150 million in 2009. (Click here for more - Chinese Language)