WuXi AppTec Divests China Clinical Services to Hillhouse Capital, Refocuses on Manufacturing Business

On October 26, 2025, WuXi AppTec announced the sale of its subsidiaries WuXi Clinical and MedKey, which comprise its China-based clinical research services business, to Hillhouse Capital for 2.8 billion yuan1 3 5.

The divested units specialize in comprehensive clinical research and site management services (CRO/SMO), generating about 1.16 billion yuan in revenue and 90 million yuan in net profit from January to September 2025—representing roughly 3.5% and 0.7% of WuXi AppTec's overall totals1 7.

This transaction allows WuXi AppTec to concentrate resources on its Contract Research, Development, and Manufacturing Organization (CRDMO) platform—drug discovery, laboratory testing, process development, and manufacturing services1 2 3.

The sale price exceeds the net asset value of the divested businesses (total assets were 1.82 billion yuan at end of 2024), boosting WuXi AppTec’s cash position and supporting accelerated global capacity expansion in manufacturing1 2 9.

WuXi AppTec’s leadership states the divestment supports its corporate development strategy, strengthens competitiveness in manufacturing and core R&D, and allows deployment of capital to global production capacity enhancement1 3 2.

The transaction highlights WuXi AppTec’s strategic pivot away from clinical research services toward manufacturing, amid a robust growth outlook for China's pharmaceutical sector3.