By staff reporters Li Weiao and Liu Jingjing
(Caijing.com.cn) A China Construction Bank unit has won approval to set up a 5 billion yuan private equity health care fund, the first of its kind, a company official said.
Xu Xiaolin, executive general manager of CCB International Ltd, confirmed the approval at a medical investment forum in Zhengzhou on April 24.
Chinese media reported earlier that the CCB International Medical Care Equity Investment Fund obtained approval from the National Development and Reform Commission, China’s economic planning agency, on April 6.
On April 6, the government also announced details of its healthcare reform program, with the central and local governments planning to spend 850 billion yuan to achieve universal coverage by 2011.
This fund will be co-managed by CCB International and Tongren Hospital, which also produces medicine and medical equipment.
It is one of seven PE funds to win approval in April, the first batch since the government suspended the approval process in last August.
In the first phase, fund managers plan to raise up to 5 billion yuan and invest in pharmaceutical companies, medical equipment manufacturers, and institutions that provide health care and rehabilitation.
Some of these targets coincide with the direction of the medical reform, which emphasizes research, development, and patenting of prescription drugs.
Full article in Chinese: http://www.caijing.com.cn/2009-04-28/110155124.html