Ge Long Hui·2025-12-15 15:01Core Viewpoint - Fosun International (00656.HK) announced an agreement to acquire a stake in Green Valley (Shanghai) Pharmaceutical Technology, enhancing its position in the Alzheimer's disease treatment market [1][2]. Group 1: Acquisition Details - Fosun Pharma's subsidiary will acquire a total of 8.6667% equity in Green Valley, with a purchase price of RMB 143 million, and will subscribe to an additional capital increase of RMB 1,269,481,633, resulting in a total ownership of 46.3504% post-transaction [1]. - The transaction involves a special purpose vehicle (SPV) where Fosun Pharma and the founders will hold 51% and 49% stakes, respectively, facilitating the handling of employee stock buybacks [2]. Group 2: Market Context - Alzheimer's disease (AD) is a significant public health challenge with limited treatment options, and the market for AD treatments in China is underdeveloped, presenting substantial growth opportunities [3]. - The global sales for AD treatments are projected to reach approximately USD 2.094 billion in 2024, while the sales in China are expected to be only RMB 1.244 billion [3]. Group 3: Product Pipeline - The target company's Mannoheptulose capsules are indicated for mild to moderate Alzheimer's disease, showing significant cognitive improvement in clinical trials [4]. - Fosun Pharma is committed to advancing its product pipeline in the central nervous system disease sector, including ongoing clinical trials and the introduction of innovative treatment technologies [4].