Synmosa Group Acquires Health Chemical Pharmaceutical Corp.

Date:2014.04.16

Synmosa Group announces to acquire a 60% majority stake in healthy Chemical Pharmaceutical Co., Ltd. Synmosa has facilitated the further integration of the Taiwan pharmaceutical industry resources thru this acquisition since acquiring U-Liang Pharmaceutical Co. last year. The healthy chemical has passed PIC/s GMP assessment approved by DOH, specializing in “liquid and soft cream" formulation of feature development. It’s Glycerin medications with the advantage of patented and ease of use design have been exported to Singapore, Malaysia , Hong Kong area for many years.

Synmosa Group owns three pharmaceutical plants and one food factory in Hukou , Hsinchu Industrial Area, and possess four advantageous manufacturing platform of the HFA MDI, nasal spray, and effervescent, sex hormones. Synmosa has continued acquisitions over the past decade. Merging Health Chemical allows Synmosa to build the complete production line of various dose forms and integrate more resource to develop new manufacturing platform. Combining the PIC/s GMP plant of Health Chemical and Synmosa Group’s business marketing resources in Taiwan, Mainland China, and Hong Kong , the revenue of Synmosa is expected to have significant growth in the near future.

 According to the regulation of DOH, all domestic pharmaceutical companies should pass PIC/s GMP assessment by Dec 31, 2014. Synmosa Group has made an alliance with the company has acquired approval which is quite wise to not only accelerate the growth of the Group as a whole , but also to create the same industry consolidation, achieving great complementary benefits.

 Legal representation said, after acquiring the Boehringer Ingelheim Taiwan plant in 2005, Synmosa Group has successfully transform into an international standard of pharmaceutical company with remarkable achievement on development of specialty pharmaceutical. Within Synmosa group , Innopharmax has listed in emerging stock with the advantageous development of drug delivery technology platform; Intech Biopharm has successfully developed HFA MDI which have obtained patents in mainland China in early April - for asthma inhaled compound composition ( Development Project SYN006), and Intech will be emerging on Q2 2014. In 2013, except merging well-known pharmaceutical companies – U-liang chemical pharmaceutical, Synmosa Group also acquired Ningbo Youhe Medicine Corporation in order to accelerate the business development in mainland China. Synmosa actively demonstrates the ambition of expanding its territory.

 Chen Xiu-Ru, the GM of Health Chemical said, they hope that the strategic alliance with Synmosa will more effectively accelerate the expansion of liquid and soft cream formulation product in pharmaceutical market territory via Synmosa’s advantage of domestic and global marketing network. Most importantly, co-op with Synmosa’s resource will benefit and help Health Chemical improve the internationalization of plant and specialty pharmaceutical development. According to Market analysis, Synmosa Group is also amplified by the integration of this acquisition and brings in new product line in dermatology, pediatrics, and the elderly medicine areas.

Peter Lin, the chairman, noted that the Group's sustainable development strategies are “self-development, continuous acquisition, and strategic alliance”. For the past decades, Synmosa dedicated to strengthen the cooperation between the domestic pharmaceutical industry and professional resources division through the power of integration of the industry, in order to create success in domestic and global market, develop complete and good quality medicines, and take care of the healthcare needs for the mankind.

 Legal estimates that the synergies of this acquisition expected to inject about NT $ 100 million to Synmosa’s revenue, and along with the complete of evaluation and registration abroad, its contribution on revenue will grow year by year. On the other hand, the group brings in “liquid and soft cream” formulation will accelerate the development of its production line and successful pursuance of diversification and internationalization. Its subsequent growth can be positively expected.