SHANGHAI: AstraZeneca said it is launching a new fund with China International Capital Corporation to invest US$1 billion in China's healthcare sector, as it expands its research work in the country.
"It's a substantial investment on our side, but also our financial partners," Soriot said of the agreement, to be signed with the Chinese investment bank CICC on the sidelines of the China International Import Expo on Wednesday. The company also planned to expand an existing research and development center in Shanghai from 450 employees to 1,000, and establish a new artificial intelligence innovation center in the city.Western drugmakers have profited from partnerships in China, where AstraZeneca's sales have doubled since 2012, as well as a softening in the regulatory environment for pharmaceutical firms.
Soirot said these were both factors in AstraZeneca's decision to make those investments in China, as the price pressures were encouraging companies to create new drugs that the government was approving and reimbursing at a faster pace.