Beijing Shuanglu Pharmaceutical Co., Ltd. (002038.SZ) announced on Dec.17 that it intended to invest USD 2 million (about RMB 12.80 million) to establish a new JV Diapin Therapeutics, LLC (DT company for short) jointly with Linchai in America. Shuanglu Pharmaceutical will hold 21.05% share of DT, while Linchai will hold 78.95% share by owning the exclusive license development right of Diapin project valued at USD 7.5 million.

 The Diapin project is engaged in production of peptide drugs to treat diabetes. According to the announcement, the newly established DT will shoulder full responsibility of market development and sale promotion around the world (except China) when Diapin products are launched in the market in the future, and the products are planned to be on sale in international markets (except China), and Shuanglu Pharmaceutical will enjoy the corresponding rights according to its investment proportion.

 The investment is expected to further enrich Shuanglu Pharmaceutical's products reserves and improve its R & D technology and international competitiveness; simultaneously, the investment is Shuanglu Pharmaceutical's another attempt to explore a new model for technical cooperation between China and foreign countries and cultivate a new profit growth engine.