(Yicai Global) Dec. 8 -- Chinese biological reagent manufacturer Shanghai Kehua Bio-Engineering Co. [SHE:002022] said yesterday that it had signed a deal with Hitachi High-Tech Diagnostics (Shanghai) Ltd. to work together on in vitro diagnostics.

The groups will cooperate on direct sales in the provinces of Guangdong, Guangxi, Hainan and Hunan. Hitachi High-Tech will collaborate with Kehua Bio-Engineering in advancing the use of its products nationwide.

Kehua Bio-Engineering will provide special reagents for Hitachi High-Tech's LABOSPECT008 AS system and sell them directly to distributors and end users. The Shanghai-based group and its affiliates will be able to independently set prices in these transactions.

Kehua Bio-Engineering said its agreement with Hitachi High-Tech will help it increase its presence in the mid-to-high end market.