Chinese conglomerate Fosun International (656.HK), which is the parent company of Shanghai Fosun Pharmaceutical (600196.SH) is growing its exposure towards the health care sector by establishing an international investment alliance consisting of 11 venture capital firms.
The company announced it is setting up the Fosun Global Healthcare Innovation Investment Alliance, which will share capital, research, and other resources in a bid to encourage innovation and spur the application of frontier technologies such as stem-cell therapy.
Fosun will play the role of a partner in the alliance, adding that research and health care-related projects will be completely led by members that have the expertise and desire to further engage with China’s fast-growing industries and massive marketsChen Qiyu, chairman at Fosun’s pharmaceutical arm
The 11 capital firms include health care-specific funds like Arix Bioscience from London and Flare Capital Partners from Boston; funds affiliated with universities like University of California, Berkeley; and Fosun’s own investment arms.
It is not clear if the fund will be affected by any trade friction between US and China. In May, a senior Fosun executive said the company was considering focusing more on emerging markets like India and less in the US.