A consortium of some of China’s biggest health care players is snapping up trans-Pacific protein therapeutics developer Ambrx Inc. for an undisclosed amount in a bid to accelerate the introduction of innovative, and presumably more profitable, therapies to the Chinese market.

Shanghai Fosun Pharmaceutical Group, Hopu Investments, China Everbright Ltd. and Wuxi Pharmatech Inc. will gain access to a pipeline of Ambrx candidates through the acquisition, including antibody-drug conjugates (ADCs), bi- and multispecific drug conjugates, and long-acting therapeutic proteins through the deal, which is expected to close this quarter.

The planned purchase comes amid a national effort to bolster the capacity of China’s domestic biopharmaceutical manufacturing sector, with a special focus on innovation, under the “Made in China 2025” plan. (See story in this issue.)

Given the governmentally driven push and the growing pull of a Chinese economy projected to reach a gross domestic product approaching the size of U.S. GDP by 2030, it’s little wonder that some of China’s biggest biopharma and investment entities would embrace Ambrx, which aims to make biologics nearly as precise in their targeting as small-molecule drugs.

Though primarily focused on generic medicines, Shanghai Fosun is China’s fourth largest pharmaceutical company by market capitalization ($10.49 billion). Wuxi Pharmatech – currently the target of a proposed acquisition itself, led by its CEO and founder Ge Li with Ally Bridge Capital Partners – is integrating a portfolio of laboratory and manufacturing services in both the U.S. and China. Meanwhile, private equity firm Hopu and fund manager Everbright have been active investors in a broad range of Chinese opportunities.

“Upon completion of the acquisition, Ambrx will obtain quality resources from its Chinese partners, so as to further advance the technical innovation of their research center based in the U.S., and to establish a global product development center based in China,” said China Everbright CEO Chen Shuang. “We believe that, with the support of the cooperation partners, Ambrx’s business will expand rapidly in China.”

San Diego-based Ambrx has already been busy pursuing a strategy of its own in China. In 2014, it formed a collaboration with Zhejiang Hisun Pharmaceuticals Co. Ltd. to develop and commercialize bispecifics based on Ambrx’s research with an aim to develop new oncology therapies. Ambrx also has a deal with Zhejiang Medicine Co. Ltd. to develop and commercialize Ambrx’s most advanced internally developed product, ARX788, a site-specific ADC targeting HER2-positive breast cancer, which is currently in preclinical development. The partners selected Wuxi to provide integrated services, including the development and manufacturing of the toxin, antibody and ADC, preclinical development and clinical trials in that program. Ambrx expects to begin trials of that program this year. (See BioWorld Today, May 1, 2014, and May 7, 2014.)

In addition, Ambrx has close ties with R&D partners, including Bristol-Myers Squibb Co., Merck & Co Inc., Eli Lilly and Co. and others. Its most advanced collaboration candidate for humans is ARX618, a long-acting fibroblast growth factor 21 for type 2 diabetes, for which BMS is conducting phase II trials in the U.S.

To date, such collaborations have provided the company with more than $200 million in funding and have the potential to provide milestone payments and royalties on the sale of collaboration products, it said.