News Release

Beijing Continent Pharmaceutical Co., Ltd. (Beijing Continent), a majority owned subsidiary of GNI Group Ltd., has entered into a service agreement with Inceptua Clinical Services to provide GMP-related drug development services to pharmaceutical companies in China and the rest of the world. With offices in Switzerland, Germany, the UK, the US, Japan, and China, Inceptua Clinical Services is a division of Multipharma S.A., a Luxembourg-based firm that offers supply and sourcing services for medicinal products, medical products and auxiliary supplies for clinical trials throughout the world. The joint collaboration has already successfully completed its first project.

The collaboration with Inceptua Clinical Services represents the first step in Beijing Continent’s strategy to expand the scope of its business. For this purpose, Beijing Continent has completed a rigorous process to remodel its factory to comply with European GMP standards. With the construction of Beijing Continent’s new API plant at Cangzhou in Hebei Province, the use of its Beijing facility will eventually be reserved for formulation production, contract manufacture, and services only. Both facilities will ultimately seek US GMP standards compliance for future business opportunities such as the production of our candidate drug F351 for US clinical development. Concurrently, Beijing Continent will pursue additional types of collaboration for contract manufacture and/or services to provide further revenue sources for the company.