Sanpower Group, one of the largest privately owned conglomerates in China, is acquiring a 100 percent stake in US biopharmaceutical company Dendreon for $819.9 million.
With the acquisition, Valeant, Dendreon’s parent pharmaceutical company, will exit oncology, one of its non-core therapeutic areas, in order to focus on its core businesses.
To date, Dendreon's first and only commercialized product is Provenge, an autologous cellular immunotherapy for prostate cancer treatment approved by the US Food and Drug Administration (FDA) in April 2010.
Sanpower Group said in a news release that it plans to accelerate Provenge sales penetration in the United States and also align its own resources to introduce Provenge to China and other major markets in Asia.
Established in 1993, the group is a privately-owned conglomerate in China, headquartered in Nanjing. It currently offers a global platform for its five primary sectors: healthcare, information services, commerce, financial services, and real estate.
In the healthcare sector, Sanpower has focused its resource on growth in sectors such as home care, genetic testing, precision medical and other fields. It has previously acquired AnKangTong, Natali, and A.S. Nursing Company, China Cord Blood Corporation, and Shandong Cord Blood Bank. The group also owns many medical and health institutions.
The acquisition of Provenge is an important step in the area of precision medical treatment for Sanpower Group. The big data from its cord blood bank provides the foundation for precise medical care. It will also allow the group to expand its umbilical cord blood bank from the basics to its practical application.
With the rising incidence of prostate cancer it China, Sanpower said Provenge will have a broad market and prospects for development.
"We aim to introduce one of the most advanced medical technologies and treatments to China and also other major Asian markets, and make Sanpower Group a China's leading enterprise in cellular immunotherapy," said Yuan Yafei, Chairman of Sanpower Group.