Amphstar To Expand Scope of Subsidiary for External Mfg
Amphastar Pharmaceuticals, a Rancho Cucamonga, California-based specialty pharmaceutical company, has announced plans to expand the scope of its subsidiary, Amphastar Nanjing Pharmaceuticals (ANP).
Amphastar is a specialty pharmaceutical company that focuses primarily on developing, manufacturing, marketing, and selling technically challenging generic and proprietary injectable and inhalation products. Additionally, the company sells insulin API products. Most of the company’s finished products are used in hospital or urgent-care clinical settings and are primarily contracted and distributed through group purchasing organizations and drug wholesalers.
To date, ANP has provided APIs and starting materials to Amphastar. After the expansion is completed, ANP plans to continue selling APIs to Amphastar and to begin selling APIs externally globally in 2019. ANP is also expanding to manufacture finished pharmaceutical products for distribution in China and in other markets globally.
To help fund this expansion, ANP completed a private placement to raise approximately $57 million. Multiple private equity investors from mainland China, Taiwan, and the US participated in the private placement. Amphastar has retained approximately 58% of the equity interest of ANP after the private placement.
“The raise of this money by ANP will also allow Amphastar to deploy more of its existing cash towards expanding its research and development for its pipeline,” said Amphastar’s Chief Executive Officer Dr. Jack Zhang in a July 9, 2018 company statement.
Source: Amphastar Pharmaceuticals