Consumer healthcare group Haleon has taken full control of its Chinese joint venture after agreeing a deal to acquire the remaining 12% equity interest from its partner, Tianjin Pharmaceutical Da Ren Tang Group (DRTG).

The UK company has bought the remaining stake for an estimated 1.62 bn yuan (£167.3m).

Haleon’s investment follows the acquisition of a 33% equity interest in Tianjin TSKF Pharmaceutical (TSKF), its OTC joint venture in China, in December last year.

TSKF manufactures and distributes over-the-counter products under Haleon’s brands in China, including burn ointment Fenbid and topical antibiotic Bactroban.

In a statement to the London Stock Exchange, Haleon said: “The acquisition is expected to be funded through a combination of Haleon’s existing cash resources and new third-party Renminbi-denominated debt.

“Subject to customary closing conditions, including the approval of DRTG’s shareholders and applicable regulatory clearances, the transaction is expected to close within the next three months.”

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