Dvelopment history
22 years of wind and rain, we still a work in progress
New Production Base Takes Shape
In 2014, ‘Changhai Biological Company’ was merged into ‘Zhejiang Medicine Co., Ltd. Changhai Biological Company’.
In 2018, the Changhai Biological industrial park began to take shape, with most of its first-phase projects being completed and put into production.
New Production Bases
In 2010, three new projects were added to the list of national new drug innovation projects due to the company’s significant achievements in technological innovation. The company’s research and industrialization projects on the purification, transformation, and microencapsulation of high-purity marigold pigment (lutein) and zeaxanthin won the first Scientific and Technological Progress Prize hosted by the China Light Industry Federation. The innovation team of the Xinchang Pharmaceutical Factory was included in the first "Provincial Key Enterprise Technology Innovation Team" by the Zhejiang Province Personnel Department. In April 2011, under the auspices of the Zhejiang Development and Reform Commission, the company's "Twelfth Five-Year Plan" passed its verbal review.
In July 2011, after an extended period of inspection and scientific demonstration, the company's new production base was buildt at the bio-industrial park in Coastal Newtown, Shaoxing. According to this plan, the new base will be built into a biomedical production base possessing advanced production technologies ,complete facilities, serialized products, international certification standards, and producing world-class nutrition products along with specialized drug substances and preparations.
In August 2012, the company completed its first non-public offering of shares since its listing, raising 1.25 billion yuan in net funds, all of which were invested in the "Project to Construct an Export Base for Nutrition Products, Specialized Raw Materials, and Preparations", which was implemented by Zhejiang Medicine Co., Ltd. Changhai Biological Company.
Focus on Core Business and Thorough Preparation
Since its establishment, the company has always been guided by scientific development concepts, adhered to a core of innovation, and maintained an unswerving focus on its main pharmaceutical business. The company successively proposed the development goals of "Quality Standardization, Management Internationalization, R&D Indigenization, & Capital Marketization" and the leading principle of "Bringing Full Play to Three Advantages & Achieving Two Transformations" (promoting product advantages, market advantages, and quality advantages; transforming product advantages into quality advantages, and convering quality advantages into market advantages). The company is committed to technological innovation and to continuously improving the techno-economic level of its products, taking the production, quality, and services of its leading products to globally advanced levels.
Beginning in the second half of 2007, as the price of fat-soluble vitamin products began to rise sharply, the company's strategic products have undergone years of scientific research, finally achieving fruitful results, and its sales revenue and profit reached new highs year by year. In 2007, the company's sales revenue was 2.209 billion yuan, and its net profit was 566 million yuan. In 2008, the company's sales revenue was 3.761 billion yuan, and its net profit was 973 million yuan. In 2009, the company's sales revenue was 4.184 billion yuan, with a net profit of 1.213 billion yuan, and its profitability ranked among the top of the domestic pharmaceutical industry.
Split-Share Structural Reform
According to the resolutions of the shareholders' general meeting regarding the split-share structural reform of Zhejiang Medicine Co., Ltd. and the Reply to the Issues Related to the Split-Share Structural Reform of Zhejiang Medicine Co., Ltd. (State-owned Assets [2006] No. 159) issued by the State-owned Assets Supervision and Administration Commission of the State Council in February 2006, the company implemented its share reform in March 2006, which further improved the corporate governance structure and helped unify shareholders' interests, and stimulated the company's subsequent development.
Coenzyme Q10 successfully launched
In 2005, relying on its significant technological acquisitions and R & D capabilities, the company became a domestic manufacturer of coenzyme Q10 using fermentation methods. Its techno-economic level has reached a globally advanced level, and the company’s economic benefits have been outstanding.
Steady Development Phase
In 2003, the company completed the turnover of its top management team. Mr. Jin Biao, a former executive who had made significant contributions to the company's development, resigned as chairman, and Mr. Li Chunbo took over as chairman of Zhejiang Medicine Co., Ltd. He implemented the development strategy of "Three Highs, Two Lows, and One Combination" and comprehensively improved the company’s core competitiveness, allowing the company to maintain continuous, stable and healthy development.
Integration of Internal Resources
After the company’s stock was listed, it fully integrated its internal resources with the strong support of government departments at all levels. Through market methods such as equity transfers, asset restructuring, and foreign investment liquidation, the company has effectively solved conflicts in tax and fiscal regulations across local governments hosting company facilities, which were produced by cross-regional business combinations, as well as some internal issues which were not conducive to enterprise development. After this point, the company established an initial standardized corporate governance structure and modern enterprise system, and had embarked on the pathway of steady development.
In 2001, the company’s “natural d-α-vitamin E process technology” project took the second prize at the 2000 National Science and Technology Progress Awards; In October 2001, the company became the first Chinese supplier of the high-tech product VH; In September 2002, the first phase project of the Paojiang Vitamin Factory was successfully put into operation, and the production capacity of synthetic VE products reached 10,000 tons. In the same year, trial production of vitamin A and beta carotene was completed; the company's fat-soluble vitamin products thereby became both richer and more comprehensive.
On May 16, 1997, with the approval of the No. 57 [1997] document issued by Zhejiang Securities Commission, the former Zhejiang Xinchang Pharmaceutical Co., Ltd., Zhejiang Xianju Pharmaceutical Co., Ltd. and Zhejiang Pharmaceutical Co., Ltd. were merged to form Zhejiang Medicine Co., Ltd..
On August 11, 1999, with the approval of the No. 99 [1999] document issued by China Securities Regulatory Commission, Zhejiang Medicine issued an initial 58 million A shares on the open market. On October 21, 1999, the company's shares were listed on the Shanghai Stock Exchange. The stock abbreviation is "Zhejiang Medicine", and its stock code is "600216".
