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India-based Aurobindo Pharma will sell Aurobindo Bio-Pharma, its Datong, China, subsidiary, to China National Pharmaceutical (Sinopharm). The subsidiary, which has incurred losses, makes the penicillin derivative 6-APA. Sinopharm will acquire a 51% stake and then raise it to 80.5% by investing to relocate a plant, as required by the local Chinese government, and to enhance capacity and downstream products. Aurobindo says it has moved away from active pharmaceuticals and is now emphasizing its formulation business.
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