Sigma-Aldrich has established a wholly foreign owned enterprise (WFOE), Sigma- Aldrich (Shanghai) Trading; acquired Beijing Superior Chemicals and Instruments Company, its primary distributor in the PRC; increased the size of its administrative offices in Shanghai to accommodate the expanded organization; and opened a leased transit warehouse in the Pudong area of Shanghai. 'We're excited about the potential the combination of these four steps provides to help accelerate the success of our customers in the People's Republic,' said Eric Green, vice president of international sales and operations. 'We've enjoyed spectacular growth since opening our representative office in Shanghai in 2002, including growth of 46% in 2005 alone'.

'Our ability to now provide sales, marketing and distribution capabilities locally holds great promise for continuing that rapid growth for years to come'.

'The PRC is a key component in our strategy to grow international sales from 20% to 25% of total global sales within the next five years.' The retention of all 78 employees of Beijing Superior - established in 1998 to supply research products direct to end user customers across the PRC from its three locations in Shanghai, Beijing and Guangzhou - will increase Sigma-Aldrich's employee base in China nearly tenfold to 87 employees.

Because 75% of Beijing Superior's annual revenues of roughly $22 million have been of Sigma-Aldrich products, the acquisition will not have a material immediate impact on the company's PRC sales.

The acquisition is expected to help the company meet its growth goals over the next several years and to be neutral to mildly accretive to earnings in 2006, with no initial charges.

Terms of the purchase, which were not disclosed, were paid in cash.

Commenting further on the acquisition, Eric Green said: 'We're delighted with the job that Wilson Wang, our country manager for Greater China, and his team have done to pave the way for these exciting new developments for our company'.

'We're particularly pleased with how well they have prepared to welcome Huang Qili and her colleagues from Beijing Superior to our organisation'.

'And we have great hopes and expectations for what our commitment of resources and their shared passion for exceptional service to customers will contribute to our growth in the decades to come.'