French pharmaceutical firm Sanofi is doubling down on its global investments through its involvement with a new global venture capital fund aimed at supporting further technological development and innovation. The company is looking to make major investments in China, which is currently its second-largest market.
Sanofi, through its injected funds in early-growth venture capital firm Cathay Innovation, is hoping to strengthen its connection with the global effort to innovate the healthcare industry. The company hopes that its strategic partnerships will help it better navigate the Chinese market, while also allowing it to better serve its customers in the region.
Sanofi China general manager for general medicines, Pius S. Hornstein, mentioned in a statement that the company expects China to drive around 30 percent of the global GDP growth over the next ten years. He added that 10 percent of the growth will be in the healthcare market. Sanofi is fully supporting China's Healthy China 2030 initiative, with the company praising the government for its continued efforts to enhance the industry's infrastructure and technologies.
Hornstein added that by becoming a part of Cathay Innovation and its efforts in China, Sanofi hopes to benefit from the rapid growth and enhancements in the healthcare industry in the years to come. Sanofi believes that Cathay Innovation's unique platform, which connects startups and industry leaders, will be the key to achieving new transformative innovations in the sector and for other industries.
Cathay Capital founder and president, Cai Mingpo, stated that the platform should allow major global healthcare players to leverage emerging trends by collaborating with promising startups in the sector. He added that for the fund to make significant contributions to the country's Health China 2030 initiative, it would have to team up with the government to find innovative solutions to modern healthcare issues.
Apart from startups within their respective industries, major companies can also use the platform to connect with innovative new companies that can help them enhance other aspects of their business.
Sanofi has already taken advantage of these new connections with its push to digitize its business in China. The company recently partnered with Tencent for the use of its WeChat Work app to enhance employee interactions.
So far, Cathay Innovations has partnered and provided support to dozens of Chinese startups. Some of the companies that it has already invested in include Internet of Things (IoT) solutions provider, Lumi, big data firm IFChange, and online real estate platform operator Tu Bo Shi.
