A subsidiary of Chinese life science company BGI has received RMB2 billion (US$320 million) investment from several unnamed Chinese institutional investors, according to Chinese media reports.
These investors are to acquire a 20% stake in subsidiary BGI Shenzhen, whose main business is noninvasive prenatal testing, at a valuation of around RMB10 billion (US$1.6 billion).
In February 2014, the Chinese government banned noninvasive prenatal testing citing market conditions. This has put pressure on BGI Shenzhen’s financial position.
BGI was founded in Beijing in 1999 to support the development of the Chinese bio-science sector. In 2007, BGI’s headquarters was relocated to Shenzhen.