CANADA'S DRAGON COMPLETES MERGER WITH CHINESE DRUGMAKER

Canadian drugmaker Dragon Pharmaceuticals has announced completion of its purchase of Oriental Wave Holding, a British Virgin Islands holding company for operating subsidiary Shanxi Weiqida Pharmaceutical. The deal was originally announced in March 2004, when terms envisaged Dragon owning 31.65% of the combined company, with the shareholders of Oriental Wave to hold a 68.35% share.

Under the deal, Dragon's recombinant human erythropoietin business and facilities in Nanjing, China, are to become the core foundation for the biotechnology division of the new entity, which will be organised into three major units. The divisions will separately manufacture prescription and OTC generics, bulk drugs and biotech products. A fourth production facility in Datong will transfer Dragon's technology to biotech drug production, and the Canadian company's antibiotic Levofloxacin will also be stored at units nearby.