The Heung Kong Group, a conglomerate founded in 1990, has become a strategic shareholder of the Uni-Bio Science Group Limited, a Hong Kong-listed company principally engaged in the research, development, manufacture and distribution of pharmaceutical products. The Heung Kong Group covers areas of trade and logistics, property, finance and investment, resources, and energy and health.

After the group invested HK$ 120 million in Uni-Bio Science, both companies have forged diverse strategic alliances. Uni-Bio Science has been given access to the medical network of the Heung Kong Group, in order to distribute its pharmaceutical products, according to company sources.

Joint efforts will also be made to evaluate the opportunities of setting up bio-pharmaceutical incubation centers, as well as explore international projects of mergers acquisitions, according to Kingsley Leung, chairman and executive director of Uni-Bio Science.

"With the Heung Kong Group's capital strength, medical network and investment banking experience, we will reap tremendous synergies, which can effectively enhance both parties' leading presence in the health and pharmaceutical industries," he said.

In the past three years, Uni-Bio Science has built certain key partnerships conducive to product innovation, bringing in innovative pharmaceutical products and expanding its distribution channels, according to Leung.

"Partnering with quality companies to expand business has been a major corporate development strategy for us," he said.

Sam Lau, deputy chairman of the Heung Kong Group, said the partnership with Uni-Bio Science would bring advanced and higher quality medical products to the domestic market.

"We are expanding clinic network and distribution channels for some existing products, and pipeline drugs for treating chronic diseases, such as diabetes and osteoporosis," he said.

The Heung Kong Group has set up a healthcare division in 2011, and has built a family health center chain which covers medical consultation service, drug dispensaries and sanatorium operations in residential communities.

"As a reform of China's healthcare system is underway, there will be more growing opportunities for distribution of drugs and medical service at community health centers," Lau said.

He added the Heung Kong Group will make use of big data to establish an online health platform for offering products and services in the near future.

"Exploring opportunities to acquire and merge with bio-pharmaceutical and bio-tech companies will be a key area for both companies," Lau said.

"M&A projects will help bring higher quality medical products to China."