Waunakee, Wisconsin-based Scientific Protein Laboratories or SPL will be bought by China-based Shenzhen Hepalink Pharmaceutical, the Wisconsin State Journal reported. The price tag for the deal is $337.5 million. SPL, which was spun off from Oscar Mayer Foods about 40 years ago, manufactures pancreatic enzymes, heparin and its analogs. Shenzhen Hepalink, meanwhile, also makes heparin which is commonly used as a blood thinner. Established in 1998, the Chinese firm trades its shares on the Shenzhen Stock Exchange.

The purchase is set to be completed in the first half of next year after regulators give their approval. The report said all 167 employees in SPL's Waunakee headquarters as well as the 34 employees in Sioux City, Iowa will still have their jobs. SPL Chief Executive Officer Robert Mills also said current managers will also be retained. He said, "From everything they've told me, numerous, numerous times, we are going to continue to run as if nothing has changed. They will invest in us so we can grow a little faster. My hope is to bring more jobs to the area."

Established in 1976, SPL uses animal processing byproducts to make pharmaceutical and chemical products. The key ingredient of heparin comes from pig intestines while that of pancreatin comes for pig pancreases, the report said. The report said Hepalink is one of the biggest suppliers of processed Heparin around the world.

Mills said the partnership with Hepalink will allow them to introduce new products and grow its sales of the heparin ingredient in Latin America as well as its sales of pancreatin in China.

In a statement, Hepalink Chairman and CEO Li Li, said, "Operating at the high level of U.S. and international safety standards, the combined company will continue its absolute commitment to global best practices in product safety and quality as a trusted supplier of ingredients for critical medicines.