(Hong Kong, 2 April 2024) – Trustar Capital (the private equity affiliate of CITIC Capital Holdings Limited) is pleased to announce the successful completion of the acquisition of leading throat healthcare company Guilong Pharmaceutical (Anhui) Co., Ltd. (“Guilong Pharmaceutical”, or the “Company”) via its China buyout fund. This acquisition marks a significant milestone in Trustar Capital’s investment strategy in the OTC pharmaceutical and wellness industry.
Established in 1989, Guilong Pharmaceutical has a rich history of over 30 years. Guided by the mission of “Inheriting the Essence of Chinese Medicine, Promoting Public Health”, Guilong Pharmaceutical has continuously pursued research and innovation to enrich its product portfolio, covering both the OTC pharmaceutical and the larger wellness sector. Over the years, the company has successfully built two well-known brands, Guilong (桂龙) and Manyanshuning (慢严舒柠), offering a comprehensive selection of solutions for throat problems spanning from mild to severe conditions. Additionally, Guilong Pharmaceutical has expanded its product line into the broader wellness sector, providing consumers with a diverse selection of products for throat health and related areas.
With the increasing demand for medical health, the OTC pharmaceutical and wellness industry in China has a promising outlook. OTC pharmaceuticals play a crucial role in improving treatment accessibility and reducing healthcare costs. In recent years, there has been a significant surge in China’s self-care and self-medication markets, bolstered by the extensive support from national policies. Furthermore, factors such as an aging population, heightened public health awareness, tech innovation, and pervasive healthcare reform will continue to drive steady growth in the Chinese OTC pharmaceutical market. According to IQVIA, a leading global healthcare service provider, the market size of OTC sector will exceed RMB300 billion by 2025.
DAI Feng, general manager of Guilong Pharmaceutical, said: “With robust backing from the domestic healthcare sector, coupled with a surge in consumer health consciousness and escalating per capita healthcare expenditures, Guilong Pharmaceutical has undergone an expansion in its operations.In the future, under the support of Trustar Capital, Guilong Pharmaceutical will further expand the treatment offerings, enhance product portfolio, and improve omnichannel presence to strengthen our leading position in the OTC pharmaceutical and wellness markets.”
ZHAO Yan, Senior Managing Director of Trustar Capital, said: “We are optimistic about the future of China’s OTC pharmaceuticals industry. We highly recognize Guilong’s excellent reputation in the market and their iconic brand and are excited to work with the outstanding and energetic management team led by general manager DAI Feng. Looking ahead, we aim to utilize our resources and post-investment experience to further empower the company. Additionally, we plan to leverage our M&A expertise and network to expand Guilong Pharmaceutical’s product line and treatment offerings, driving sustainable growth going forward.”
Trustar Capital has significant investment experience in the healthcare sector, focusing on comprehensively and continuously integrating resources and expanding the industry, and has established a rich ecosystem of portfolio enterprises, including Harbin Pharmaceutical Group, GNC, Taibang Biologic Group, Jissbon, Genertec Universal Medical, Hygeia Healthcare, Genesis MedTech, MedAlliance and other high-quality enterprises. This acquisition of Guilong Pharmaceutical aligns perfectly with Trustar Capital’s buyout investment strategy. It also showcases Trustar Capital’s deep experience and strong capabilities when it comes to multinational corporations carving out their Chinese businesses. Moving forward, Trustar Capital will remain focused on mergers and integration within the OTC pharmaceutical and wellness space and create long-term value by building out a complete suite of public health services over the long run.
– Ends –
About Trustar Capital
Trustar Capital (the private equity affiliate of CITIC Capital Holdings Limited), focuses on control buyout opportunities globally and has completed around 100 investments since inception across China, Japan, U.S., Europe, etc. Trustar Capital currently manages USD8.7 billion of committed capital. For more information, please visit http://www.trustarcapital.com/.
Founded in 2002, CITIC Capital Holdings Limited is an alternative investment management and advisory company. The firm manages over USD16 billion of capital across 100 funds and investment products through its multiple asset class platform covering private equity, real estate, structured investment & finance, and asset management. CITIC Capital has over 290 portfolio companies that span 11 sectors and employ over 500,000 people around the world.
For media enquiries, please contact:
Cindy TAM
Director, Corporate Relations
CITIC Capital Holdings Limited
Tel: +852 3710 6813
cindytam@citiccapital.com
Irene GAO
Senior Associate, Corporate Relations
CITIC Capital Holdings Limited
Tel: +852 3710 6814
irenegao@citiccapital.com