Alliance Boots in joint China venture

British retailer Alliance Boots said today it had agreed to form a 50-50 joint venture with Guangzhou Pharmaceuticals Corp (GP…

British retailer Alliance Boots said today it had agreed to form a 50-50 joint venture with Guangzhou Pharmaceuticals Corp (GP) to enter the Chinese drugs distribution market.

Alliance Boots said it would buy a 50 per cent interest in GP Corp, China's third-biggest pharmaceutical wholesaler, for £38 million.

It said it would make the investment through a UK subsidiary in which US-listed Beijing Med-Pharm Corp holds a 20 per cent stake.