Fosun Pharma launches US$128M H-Share buyback following gland pharma stake sale
The share repurchase programme will be funded primarily through proceeds from the sale of an approximately 6% stake in Gland Pharma for about US$294 million.
CHINA—Shanghai Fosun Pharmaceutical (Group) Co., Ltd. has announced plans to repurchase its H shares for up to HK$1 billion (US$128 million), as the pharmaceutical company seeks to support shareholder returns and reinforce confidence in its long term value.
The repurchase plan has taken effect and will be implemented as soon as practicable.
Fosun Pharma said the shares acquired through the programme will either be cancelled or held as treasury shares.
The company also plans to assess market conditions and conduct repurchases on a rolling basis, making the programme part of its broader approach to shareholder returns.
Earnings continue to improve
The announcement follows an improvement in Fosun Pharma’s financial performance during the first half of 2026.
The company reported revenue of RMB20.442 billion (US$3.05 billion), representing a 4.75% increase from the same period last year.
Profit attributable to shareholders of the listed company, excluding non recurring gains and losses, rose 19.09% year on year to RMB1.144 billion (US$170 million).
Meanwhile, net cash generated from operating activities increased 13.59% to RMB2.424 billion (US$361 million).
Fosun Pharma attributed the improvement in earnings quality partly to rising contributions from innovative medicines and international markets.
The company said these areas continued to strengthen during the reporting period.
Gland Pharma stake sale to fund repurchase
The share repurchase programme will be funded primarily through proceeds from the sale of an approximately 6% stake in Gland Pharma for about US$294 million.
Following completion of the transaction, Fosun Pharma will retain an approximately 45.76% stake in Gland Pharma and continue to consolidate the Indian pharmaceutical company in its financial statements.
Fosun Pharma said it will use the net proceeds from the transaction mainly to support research and development, finance share repurchases and repay interest bearing debt.
Despite reducing its stake, the company said it remains committed to Gland Pharma and expects the business to continue contributing to its international operations.
Focus remains on innovation and global expansion
Fosun Pharma plans to maintain its focus on pharmaceutical innovation and international expansion as it advances the development and commercialisation of key pipeline products.
The company said it will accelerate research and development activities for major candidates while expanding its presence in international markets.
It also expects the share repurchase programme to support shareholder returns as it continues to manage its capital allocation alongside investment in its growth businesses.
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