WuXi and PRA Health amend ties in China

China's WuXi PharmaTech ($WX) and North Carolina-based PRA Health Sciences ($PRAH) said they have reorganized their joint operations in China, Hong Kong and Macau that were originally formed in 2013. The two companies said the part of the deal that is located in mainland China will now become a wholly owned subsidiary of WuXi and the operations in Hong Kong will belong to PRA. The companies also said PRA will keep its Strategic Solutions business in China and Hong Kong that offers "custom-built clinical development solutions." The companies said they will also create a "preferred provider relationship" in which WuXi will offer clinical trial services for global trials subcontracted by PRA in China. "WuXi approached us to explore the restructuring of our relationship to better align with their current objectives in China," said PRA CEO Colin Shannon. "This restructuring allows us to continue our strong relationship with WuXi to support our client needs in China and to leverage the business that we have built together." Release