Terumo Corp. said Monday it has formed a strategic business alliance with Chinese medical device maker Shandong Weigao Group Medical Polymer Co. to create a joint venture to manufacture kidney dialysis equipment in China, with a view to starting sales there by 2014.
The joint venture, Wego Terumo JV, is expected to be launched this fall, subject to approval by Chinese authorities, with capital of about ¥2 billion. Terumo’s subsidiary in China and a Weigao subsidiary will each hold a 50 percent share of the venture to be based in Weihai, Shandong Province.
Terumo said it seeks to expand business in the fast-growing dialysis market in China through the alliance, aiming for the joint venture to achieve ¥40 billion in revenue with a 25 percent market share in China by 2021.