
(Reuters) – China’s WuXi AppTec said on Tuesday that its subsidiaries have signed an agreement with US-based private equity firm Altaris LLC for the sale of its cell and gene therapy manufacturing unit, WuXi Advanced Therapies, for a an undisclosed amount.
The company, along with other Chinese companies, is at the center of new US laws aimed at restricting their businesses in the United States due to national security concerns.
The US House of Representatives passed a bill in September that would ban federal contracts with targeted companies and those who do business with them.
The tariffs are designed to hide Americans’ personal health and genetic information from foreign adversaries and are aimed at pushing US pharmaceutical and biotech companies to reduce their reliance on China for everything from manufacturing to drug ingredient to early research.
WuXi said it will also sell Oxford Genetics, the UK-based operating entity of the WuXi ATU business to Altaris LLC.
Altaris declined to comment beyond the details provided while WuXi AppTec did not respond to a Reuters request for comment.