HEERLEN, NETHERLANDS -- (Marketwire) -- 10/30/09 --
Royal DSM N.V., the global Life Sciences and Materials Sciences
company headquartered in the Netherlands, today announces that the
contracts to establish nutrition and anti-infectives joint ventures
in China with North China Pharmaceutical Group Corporation Ltd.
(NCPC) are suspended. DSM will continue its search for partners in
China as the company prepares for further growth in the country,
which in 2008 represented 8% of DSM's net sales.
Jan Zuidam, Deputy Chairman of the DSM Managing Board, comments:
"China is transforming from the world's manufacturing base into one
of the world's leading economies with one of the highest growth
rates. Economic prosperity and strong domestic demand, driven by a
fast-rising income level combined with an increased focus on
innovation, are expected to fuel economic growth in China for the
coming decades. DSM is very well positioned in China and is
continuously seeking opportunities to further improve its position."
In 2004 DSM announced its intention to form a strategic partnership
with NCPC. Earlier this year the contracts for joint ventures in the
areas of nutritional products (vitamins) and anti-infectives were
signed.
DSM has been informed that, due to the recent change in the ownership
of NCPC, the implementation of these contracts has been delayed and
possibly cannot be effectuated within a reasonable timeframe.
Although still interested in the cooperation, the contracts are
suspended, while both parties are maintaining their ongoing business
relationships. At the same time, DSM will look for alternative
solutions for the prospective partnerships.
DSM will continue to explore other opportunities for further growth
in China through strategic cooperation, also in the areas of
nutritional products and anti-infectives.
DSM in China
DSM began trading with China in 1963. Today, DSM has invested in
China for over a decade. DSM has its China regional headquarters and
R&D center in Shanghai. The company currently has 14 manufacturing
sites in China and employs nearly 4,000 people. DSM's business is
growing healthily and steadily in China with revenue of above USD 1.1
billion in 2008. In addition, DSM is committed to China's sustainable
development. More information: www.dsm.com.cn.
DSM - the Life Sciences and Materials Sciences Company
Royal DSM N.V. creates innovative products and services in Life
Sciences and Materials Sciences that contribute to the quality of
life. DSM's products and services are used globally in a wide range
of markets and applications, supporting a healthier, more sustainable
and more enjoyable way of life. End markets include human and animal
nutrition and health, personal care, pharmaceuticals, automotive,
coatings and paint, electrical and electronics, life protection and
housing. DSM has annual net sales of EUR 9.3 billion and employs some
23,500 people worldwide. The company is headquartered in the
Netherlands, with locations on five continents. DSM is listed on
Euronext Amsterdam. More information: www.dsm.com.
For more information:
DSM Corporate Communications DSM Investor Relations
Herman Betten Hans Vossen
tel. +31 (0) 45 tel. +31 (0) 45 5782864
5782017 fax +31 (0) 45 5782595
fax +31 (0) 45 e-mail
5740680 investor.relations@dsm.com
e-mail media.relations@dsm.com
DSM China Communications
Robyn Wang
tel. +86 21 6141 8003
e-mail china.communications@dsm.com
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