AXA Private Equity announced that its subsidiary Novacap had bought a controlling stake in Taixing Yangzi Pharm Chemical. Novacap is a Paris-based producer of everyday chemicals while Yangzi is a producer of Para-Amino-Phenol based in China. Para-Amino-Phenol is used mainly to produce paracetamol. Yangzi holds headquarters in the Taixing Economic Development Zone near Shanghai.

No financial details were disclosed about the transaction. However, the new acquisition increased the annual total turnover of Novacap by 50% to EUR 70 million in less than three years.

Novacap CEO Pierre Luzeau said Yangzi already had a longstanding business dealing with one of Novacap's independent business unit, Novacyl. "This acquisition is a decisive strategic move that boosts our paracetamol business while increasing the potential for the combined group's future growth," he added in a press release.

Yangzi Chairman Zhou Zhao Ming said the acquisition was an opportunity for the Chinese firm. "Novacap will provide the company with additional resources to accelerate its development in new geographies and new applications, as well as to pursue its continuous research of best-in-class industrial processes," he added.