CyGenics Acquires Stake in DNAPro in Exchange for Cell Sciences Subsidiary
Disposes of wholly owned subsidiary, Cell Sciences, in exchange for 20% stake in DNAPro
CyGenics Ltd. announced that it had disposed of its wholly owned subsidiary, Cell Sciences Pte Ltd, in exchange for a 20% equity in DNAPro Sdn Bhd. Cell Sciences is primarily a distributor of various medical and research products. DNAPro is a Malaysian company engaged in manufacturing and trading biopharmaceutical products. These include hepatitis B vaccine (recombinant), and anti-cancer and anti-AIDS vaccines. It supplies various medical products to the Malaysian government and the private sector.
"We have long wanted to tap into the growing healthcare sector in Malaysia," said Steven Fang, Group CEO, CyGenics. "DNAPro is the partner we have been looking for. Our exchange of Cell Sciences for a minority interest in DNAPro, is expected to provide an improved return, partially from the synergies generated. Further, this transaction allows us to better focus on our core revenue generating activity of cord blood banking, which has seen annual growth in excess of 70%."
It is further expected that this arrangement will provide the CyGenics group, which will have a representative on DNAPro's board, with enhanced access to the Malaysian healthcare markets, and enable cross-selling and licensing of DNAPro's products via CyGenics' international network. CyGenics now has a business presence in Australia, Hong Kong, China, India, Indonesia, the Netherlands, the Philippines, Malaysia, Singapore, Thailand, the UK and the US.
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