WuXi AppTec (02359) plans to sell 100% equity of Condis Hongyi and Jinshi Pharmaceuticals

WuXi AppTec (02359) announced that on October 24, 2025, its wholly-owned subsidiary, Shanghai WuXi AppTec New Drug Development Co., Ltd. (Shanghai Pharmatech), entered into a purchase agreement with Hillhouse Capital Group (Hillhouse), pursuant to which Shanghai Pharmatech agreed to sell, for a cash consideration, and Hillhouse agreed to purchase all the shares it holds in Shanghai Kangde Hongyi Medical Clinical Research Co., Ltd. (Kangde Hongyi) and Shanghai WuXi Jinshe Medical Technology Co., Ltd. (Jinshe Medical). Hillhouse is one of the world's leading private asset management companies, focusing on healthcare, manufacturing, green energy, hard technology, and consumer technology sectors. The company's management believes that this transaction reflects the company's long-term strategy to continue to focus on its core CRDMO business model, concentrating on drug discovery, laboratory testing, process development, and production services. This initiative is expected to provide financial support to accelerate global capabilities and capacity development, better serve customers, and bring benefits to global patients. Kangde Hongyi and Jinshe Medical are both operating entities of the company engaged in the clinical research services industry in China. From January 2025 to September 2025, Kangde Hongyi and Jinshe Medical generated a total revenue of RMB 1.16 billion (unaudited), accounting for approximately 3.5% of the company's unaudited revenue for the first three quarters of 2025. From January 2025 to September 2025, Kangde Hongyi and Jinshe Medical generated a net profit of RMB 90 million (unaudited), accounting for approximately 0.7% of the company's unaudited net profit for the first three quarters of 2025.