Chinese biotechnology company BeiGene
Ltd and Guangzhou Development District
(GDD) have formed a joint venture, BeiGene Biologics
Co Ltd, that will invest RMB 2.2 billion ($ 330 million) to build a biologics
manufacturing facility in Guangzhou, Guangdong Province, China. The joint venture will also provide funding for research and development of biologic drug candidates in China.
“We are very pleased to announce our joint venture with the Guangzhou Development District. Biologics
represent an important part of BeiGene’s overall R&D and manufacturing capabilities. This joint venture will enable BeiGene
to keep pace with a growing demand for the development and use of biologics
in China and global markets,” commented Xiaodong Wang, co-founder, director, and chairman of the Scientific Advisory Board of BeiGene.
John Oyler, co-founder, CEO and chairman of the Board of BeiGene, added, “It is our strategic priority to secure high-quality large-scale manufacturing capacity based on the increasing biologics
opportunity we envision in China and global markets. We believe the joint venture will provide a valuable asset for our long-term growth.”
Under the terms of the agreement, the cash contributions to BeiGene Biologics
consist of RMB 200 million ($30 million) from BeiGene
and a total of RMB 1 billion ($150 million) from GDD, including cash in equity investment of the JV company and a shareholder loan, which may be convertible into equity of the JV. For additional funding, the manufacturing factory subsidiary of the BeiGene Biologics
is expected to secure commercial loans of RMB 1 billion ($150 million).
is a global, clinical-stage, research-based biotechnology company focused on molecularly targeted and immuno-oncology cancer therapeutics. With a team of over 300 scientists, clinicians and staff in mainland China, the US, Australia and Taiwan, BeiGene
is advancing a pipeline consisting of novel oral small molecules and monoclonal antibodies for cancer.