Medipost has agreed to form a 50:50 joint venture (JV) with Jingyuan Bio-Tech, Ltd, to carry out clinical tests of Cartistem in China. Under the terms of the JV, both the partners will jointly invest USD 7 million each. Deal Value is USD 14 million.

The JV, OrLife Bio, will have an exclusive license for the development and sales of Cartistem in China and be responsible for the manufacturing and registration of the product. The JV will be located in Taian, China and plans to initiate clinical trial of CARTISTEM in China in 2016 following about one year preparation period. MEDIPOST will be entitled for 50% of the JV's profit based on its equity holdings and in addition will receive license fee and royalty from the JV.