Sinopharm explores billion dollar deal for BBI Life Sciences

China National Pharmaceutical Group Co. is among suitors exploring a potential acquisition of BBI Life Sciences Corp., in a deal that could value the Shanghai-based DNA synthesis provider at more than $1 billion. dollars, according to people familiar with the matter.

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(Bloomberg) – China National Pharmaceutical Group Co. is among suitors eyeing a potential acquisition of BBI Life Sciences Corp., in a deal that could value the Shanghai-based DNA synthesis provider higher. billion dollars, according to people familiar with the matter.

The public company, known as Sinopharm, has held talks with the founding Wang family of BBI Life about a transaction, said the people, who asked not to be identified because the information is private. The BBI Life owner is also in talks with other potential buyers, the sources said.

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There is no certainty that Sinopharm will strike a deal while deliberations are ongoing, the people said. BBI Life declined to comment, while a Sinopharm representative did not respond to requests for comment.

Shanghai-based BBI Life Sciences offers products and services in areas including DNA synthesis, genetic engineering and life science research consumables, according to its website. It is present in China, Canada and the United States. The company debuted on the Hong Kong stock exchange in 2014 and was taken private by the controlling Wang family nearly six years later in an HK$845 million ($108 million) deal.

Upstream supplier of raw materials for nucleic acid diagnostic kits, BBI Life Sciences has adjusted DNA synthesis and gene synthesis production based on research in the early stages of the coronavirus pandemic, according to its 2019 annual report. It sent 7.9 million probes and primers to diagnostic kit companies by February 2020, according to the report.

Vaccine maker Sinopharm manufactures one of two inactivated Covid-19 vaccines distributed in China. More than 90% of the country’s 1.4 billion people have been fully vaccinated with injections from Sinopharm or Sinovac Biotech Ltd.

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