Pharmaceutical Company Reorganization, Public Listing and Funding
A Chinese Pharmaceutical Company needed a major overhaul. They needed new funds, new technology for GMP compliance, new product forms, expanded distribution networks, and new talent to support continued sales growth.
FTC assisted the Board of Directors in all steps taken in the reorganization, listed the company on the American Stock Exchange and organized a PIPE investment of $18.0 million.
challenge
The biggest challenge was the coordination of the multiple upgrades needed for financing, manufacturing, profit margins, and distribution. The strategy statements for this comprehensive undertaking echoed a “restart” of the business on a new footing. This was communicated and implemented.
Management decided to pursue a public listing for the company as an avenue for financing the restart, and future initiatives.
Manufacturing and Quality Control procedures were needed for compliance with local GMP and US GMP standards to support international distribution
Business processes needed to be upgraded to meet the challenge
solution
Each challenge was addressed and implemented in a way that was compliance with governing regulations
A strategic plan was put in place to coordinate the challenges and to guide decisions and performance.
results
- The company was listed on the American Stock Exchange
- A Reverse Merger process was used for the listing
- New capital of $18.0 million was secured through PIPE funding
- The company valuation rose to $100 million
- The new factory, warehouse, administration center was constructed and put into operation.
- Internationally famous brands were licensed to brand new products in selected jurisdictions
- Distribution expanded throughout China
- All SEC and GAAP standards were met
- All GMP and ISO standards were met
- Established International Brands were licensed