The company plans to spend about 45 percent of the net proceeds on acquisitions in China to expand its pharmaceutical manufacturing and distribution businesses, according to a share offering document. It sells everything from traditional Chinese preparations like donkey hide gelatin to western pharmaceuticals like contraceptive pills and blood pressure drugs.
China Resources Pharmaceutical Group will kick off its initial public offering in Hong Kong in the next few days, hoping to raise up to $2 billion for investment and expansion. nKnown as CR Pharma, the drugmaker--part of the state-owned China Resources Holdings conglomerate--is hoping to sell 1.54 billion shares at between HK$8.45 and HK$10.15, with around 50% of the shares already earmarked for large institutional investors.