English translation of Purchase and Sales Agreement, dated as of April 1, 2007



 Exhibit 10.17 

Purchase and Sales Agreement 

April 1, 2007 
 Party A:
China Gateway Pharma Products (Shanghai) Limited 
 Party B: LabPartner (Shanghai) Co., Ltd. 

WHEREAS, Party A and Party B entered into a Service Outsourcing Agreement on April 1, 2007 (contract No.: JC20070702004). Party A agrees, within the
term of Service Outsourcing Agreement, for materials listed in the material catalogue (see Annex 1) needed by Party A, Party A shall purchase from Party B in accordance with the prices shown in the catalogue. To ensure the supply of materials in the
catalogue provided by Party A, Party B shall establish a warehouse in production area of the related companies of Party A and provide inventory services to meet the needs of Party A. 

Through friendly negotiation and in accordance with the Contract Law of the People’s Republic of China, Party A and Party B agree as follows:

  

	1.	ORDERING 

  

	1.1	Party B shall provide e-commerce platform to Party A. Party A shall order materials through e-commerce platform. E-commerce platform of Party B shall include, not
limited to, the name, specification, place of production, price and inventory of the materials in catalogue for Party A’s ease of ordering. 

  

	1.2	Party B shall ensure that the e-commerce platform will be opened to Party A at any time in order for Party A to order or inquire. 


 

	1.3	Any materials ordered from Party B shall be ordered through e-commerce platform of Party B. Party B shall deem that Party A has finished its internal approval of the
procurement of the order upon receiving the order in e-commerce platform. Party B shall provide the materials promptly to Party A after receiving the orders from Party A. 


 

	1.4	Party B shall sell the materials in accordance with the prices shown in the catalogue in Annex 1. 


 

	1.5	Party A shall provide Party B with the estimated purchase amount in the next month no later than the fifth day prior to the beginning of every month. Party B shall
assemble the goods resources and maintain certain inventories to ensure the supply to Party A. 

  

	1.6	Party A shall purchase materials and related services from Party B in accordance with the model number, configuration, quantity, settlement method and settlement amount
shown on the purchase order. 

  

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	2.	QUALITY, TECHNICAL STANDARD AND PACKAGING 


 

	2.1	Quality and technology standards: where the quality requirements or technology standards have been specified in the purchase orders issued by Party A, the purchase
shall be made according to such specifications. Where the quality requirements or technology standards have not been so specified, it implies that Party A has conducted tests upon the goods provided by Party B and acknowledged that the quality of
the goods meets Party A’s requirements. Where Party A specifies the technology standards, the purchase shall be made according to such specifications. Where Party A does not specify the technology standards, national standards shall apply.
Where there is no national standard, Party B’s technology standards shall apply. Party B’s technology standards shall meet the requirements of Party A’s use of goods. 


 

	2.2	Packaging 

  

	 	2.2.1	Where there is original packaging, packaging of the materials shall follow the original packaging standard; or 


 

	 	2.2.2	Where there is no original packaging, the materials shall be packaged according to packaging standard of Party B. The packaging method shall be sufficient to protect
the materials. 

  

	2.3	Where the quality of materials provided by Party B cannot meet the standard required by the purchase order of Party A or the technical requirements of Party A, Party B
shall exchange or return purchase. Party B shall also compensate the losses of Party A and the compensation shall not exceed the actual sale price of such materials. Where the testing reports from Party A contain any mistake, Party B shall not bear
any responsibility for the losses caused for Party A. 

  

	3.	DELIVERY 

  

	3.1	Place of delivery shall be the warehouse established by Party B in the production area of the related companies of Party A or the places indicated on the purchase
order. 

  

	3.2	Date of delivery: 

  

	 	•	 	 Where the ordered materials of Party A are in stock as shown on the e-commerce platform of Party B, Party A may retrieve the ordered materials one hour
after the order is issued from the warehouses of the related companies of Party A. If the order requires Party B to deliver the materials, Party B shall deliver the materials within one business day to the place designated in the Party A’s
order. 


  

	 	•	 	 Where there is no inventory when Party A orders the materials, Party B shall inform Party A of the estimated arrival time of materials within 24 hours
after Party A submits the purchase order, and deliver the materials to the designated place in such order. Under unusual circumstances, Party B shall inform Party A of the new arrival date of materials within 24 hours after receiving Party A’s
order. 


  

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	3.3	Transportation and Fees 

 Party B
shall choose a proper transportation method according to the nature of the materials and guarantee that the materials will be delivered in good shape on time. Party B shall pay for the transportation fee associated with transporting the materials
from Party B to the warehouse established by Party B in work place of the related companies of Party A. 
  

	3.4	Dispatching Fee: where Party A requires Party B to deliver materials to the place designated in the purchase order, Party A shall be responsible for the dispatching fee
according to the Warehousing and Logistics Services Agreement between the Parties. 

  

	4.	RECEIVING MATERIALS 

  

	4.1	Recipient Information 

  

	 	4.1.1	Recipient: China Gateway Pharma Products (Shanghai) Limited 

  

	 	4.1.2	Address: No. 9 Workshop, No. 10 Gongji Road, Nanhui District, Shanghai 


 

	 	4.1.3	The designated name and contact information shall be governed by the purchase order from Party A. Where the contact information was unclear in such purchase order, the
contact information as follows will be used: contact person: Jiang Hua; Tel: 021-6829 6600. 

  

	4.2	Party A designates a new Recipient: 


If Party A designates a new Recipient before the delivery of materials from Party B, Party A shall amend such information in the purchase
order or inform Party B in writing of the name and contact information (eg: address, telephone number, postal code, etc) of the new Recipient at least three business days in advance. Party B shall have the right to deliver the materials to the
original Recipient under this Agreement before receiving such written notice from Party A. The original Recipient’s actions (including but not limited to the original Recipient’s use of his/her signature and the confirmation and commitment
he/she makes) shall be deemed as a representation of Party A. 
  

	4.3	Method for signing and receiving: 

  

	 	4.3.1	After receiving and examining the materials, Party A or the Recipient designated by Party A shall sign and acknowledge receiving such materials.


  

	 	4.3.2	Where Party A or Recipient designated by Party A refuse to sign on the note or receipt, Party B shall have the right to refuse to deliver the materials under the order,
and regard Party A as not receiving the materials. Party B shall not bear the liability for delay in delivery. Party B shall have the right to request Party A to bear the fees of storage, transportation for the second time and dispatching, and
settle according to Article 12.2.2 of this Agreement. 

  

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	5.	TITLE RETENTION AND RISK TRANSFER 


 

	5.1	Party A and Party B both agree that before Party A pays for the ordered materials in full, the ownership of such ordered materials belongs to Party B.


  

	5.2	Party A and Party B both agree that Party A shall bear the risks of damage and loss after delivery. 


 

	6.	EXAMINATION AND ACCEPTANCE 


 

	6.1	Party B shall deliver qualified materials according to the date set in this Agreement. If such condition is not met, Party B shall bear the related liability of breach
of this Agreement, and Party A shall have the right to return the ordered materials to Party B. If there is a delay of delivery due to force majuere, Party B shall prove such circumstances, and both parties shall negotiate for resolution.


  

	6.2	After the materials arrive at Party A, the Recipient shall bear the responsibility of verifying whether the name, specification, place of production, quantities is in
compliance with the purchase order and the notice provided by Party B. If such information is in compliance, Party A shall sign off such notice. If there are discrepancies, Party A may refuse to accept the materials. Party B shall provide qualified
materials according to the order within three business days. If Party B cannot provide such materials within three business days, Party B shall inform Party A of the time at which the materials will be available within one business day. If Party A
finds that the ordered materials have quality issues after the inspection and acceptance process, Party A shall inform Party B within one business day after the day of inspection and acceptance. Party B shall handle such objection case within one
business day of receiving the notice from Party A, or else Party A shall have the right to handle the issues on their own, and related costs shall be deducted from the payment to Party B. 


 

	6.3	Party B shall provide the materials with standard packaging and in good conditions. Party A shall have the right to refuse the materials with packaging that is not in
compliance with this Agreement and Party B would be deemed to have breached this Agreement for delaying to deliver the materials. 

  

	6.4	The signature of Party A or a third party designated by Party A on the receipt shall deem Party A to have received the ordered materials but does not imply that quality
of the ordered materials is in compliance with this Agreement. Party A can object the quality within the objection period. 

  

	6.5	Examination and acceptance of materials shall be conducted by Party A. 


 

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	 	6.5.1	Standard for examination and acceptance: see Article 2.1 of this contract. 


 

	 	6.5.2	Location for inspection and acceptance shall be the warehouse of Party B or the place designated in the purchase order. 


 

	6.6	If for any reason caused by Party B, for example, the materials are deemed unqualified, Party A requests to cancel the purchase order or exchange the ordered materials,
Party B is responsible for all related transportation and storage fees. Party B is responsible for transporting such materials within 3 business days of receiving such request, or else Party A shall have the right to handle the materials on their
own. 

  

	7.	PAYMENT 

  

	7.1	Party B shall issue invoices to Party A for the purpose of clearing accounts prior to the 21st day of every month. 


 

	7.2	Party A shall transfer amounts to Party B’s bank account prior to the fifteenth day the month after next month after receiving the invoices issued by Party B.


  

	7.3	Both parties agree as follows: Party A receiving the invoices shall not imply that Party A has paid the amount it owes in full. The transaction is deemed to be finished
only when Party A has transferred the amount it owes in full to a designated account of Party B. 

  

	7.4	Payment: Telegraphic transfer. 

  

	8.	DISPATCHING FEE AND PAYMENT 


See Warehousing and Logistics Service Agreement (Contract No.:        ) 

 

	9.	MODIFICATION TO MATERIALS CATALOGUE 


 

	9.1	Party B shall modify materials catalogue (Annex 1) every 6 months according to requirement of Party A, providing new materials for the benefit of Party A. The
modification shall be conducted through the e-commerce platform of Party B, and Party B will no longer provide a written materials catalogue. 

  

	9.2	If for any reason Party B changes the price of the materials listed in Annex 1, Party B shall inform Party A in writing detailing the reason for such change the price
15 business days before the changes to the price. Party A shall confirm the price in writing within 5 business days of receiving the notice. After Party A confirms such change in writing, Party B shall modify the price of the materials catalogue and
revise the Annex 1 to this Agreement in the form specified in Clause 9.1 hereof. 

  

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	10.	CONFIDENTIALITY 


The confidential information of Party A includes but not limited to, delivery information, prices of materials, purchase amount, total
price and other information and data. The confidential information cannot be used for any purpose other than signing and performance of this Agreement. Both parties shall bear confidential liabilities within the term of this Agreement and within two
years of the termination of this Agreement. 
  

	11.	FORCE MAJEURE 

  

	11.1	For the purposes of this Agreement force majuere shall mean unforeseeable and unavoidable circumstances, including war, fire, flooding, hurricane, earthquake, policy
change or other circumstances that cannot be changed by human force. Force majuere events can happen in materials transportation, storage or delivery. Party B shall immediately inform Party A of such force majuere events. 


 

	11.2	Either party shall promptly notify the other of any circumstances which render it impossible for such party to carry out its obligations under this Agreement and
provide proof from related authority within 15 days of the elimination of such events. 

  

	12.	LIABILITIES FOR BREACH OF AGREEMENT 


 

	12.1	Liabilities Breach of Agreement for Party B 

  

	 	12.1.1	If Party B delays the delivery of materials without informing Party A as required by this Agreement, for each day delayed, Party B shall pay Party A an amount equal to
0.1% of the value of delayed materials, but the total amount of compensation for breach of agreement shall not exceed the value of such ordered materials. 

  


	 	12.1.2	If the specifications, model number, quantity, quality, packaging were not in compliance with the purchase order, if Party A agrees to accept, both parties may
renegotiate price of such materials. If Party A declines such shipment of materials, Party B shall arrange return or repair of the materials, and bear the actual fees of such return or repair. Party A shall have the right to request Party B to cease
the delivery or cancel the order, Party B shall bear the responsibility for the delay of delivery of the materials. 

  

	 	12.1.3	If the materials cannot be delivered to Party A due to the misrepresentation by Party A of the delivery place and/or recipient, Party B shall not be responsible for any
compensation; Furthermore, Party B is entitled to claim for the losses thus caused. 

  

	12.2	Liabilities of Breach of Contract for Party A 

  

	 	12.2.1	Where Party A delays payment, Party A shall pay Party B an amount equal to 0.1% of the unpaid amount as compensation for breach of agreement, but the compensation shall
not exceed the total amount of the unpaid payment. Where Party A delays payment for 30 days and still does not pay the amount in full, Party B shall retain the right to terminate the agreement. 


 

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	 	12.2.2	Where the materials were prepared especially for Party A, Party A refuses to accept ordered materials that fulfill the requirement in the purchase order (including
Party A return materials in midway) after Party B sends order to suppliers, Party A shall be deemed to have breached the agreement and shall pay an amount equal to 50% of the amount of the ordered materials (or the parts returned in midway) as
compensation. Where the actual loss of Party B exceeds the abovementioned amount, Party A shall pay such balance. 

  

	13.	DISPUTE RESOLUTION 


Where a dispute arises, the parties shall resolve it through friendly negotiation. If such consultation fails, either party shall bring
forth the dispute to a court of law located at the same jurisdiction as Party A. 
  

	14.	MISCELLANEOUS 

  

	14.1	Where the delay of supply by Party B or delay of payment by Party A is due to the public holidays in the country of origin of materials or in the PRC, the time shall be
postponed accordingly. 

  

	14.2	Upon the effectiveness of this Agreement, unless stipulated in this Agreement, both parties shall not modify or terminate this Agreement. When one party wishes to
modify this Agreement, both parties shall sign a supplementary agreement to confirm the changed issues. The supplementary agreement shall become effective once both parties stamp such agreement with company chops. Where parties cannot agree on
changed issues, the party that raise the modification issues shall perform in accordance with this Agreement, otherwise, shall be deemed as breach of agreement. 


 

	14.3	Term of this Agreement shall be 5 years from April 1, 2007 to April 1, 2012. Either party shall have the right to terminate this Agreement, but shall inform
the other party 6 months in advance. 

  

	14.4	This agreement become effective once the authorized representatives of both parties signed and affixed this Agreement with company seals. This agreement is made in two
originals that shall be held by each respective party, each of which shall have the same force and effect. 

  

	14.5	What is left unmentioned in this Agreement may be supplemented by supplementary agreements agreed by both parties. For inconsistencies in the supplementary agreement
and this Agreement, the language in the supplementary agreement shall prevail. 

  

	14.6	For inconsistencies in Service Outsourcing Agreement (Contract No.:        ) and this Agreement, the language of Service
Outsourcing Agreement shall prevail. 

  

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 Party A: China Gateway Pharma Products (Shanghai) Limited 

Authorized Representative: 
 Address of Company:

 Telephone: 
 Fax: 

Party B: LabPartner (Shanghai) Co., Ltd. 

Authorized Representative: 
 Address of Company:

 Telephone: 
 Fax: 

 

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 Annex 1—Material Catalogue of LabPartner 

The original of this document is a table in Chinese listing 158 types of raw materials and laboratory equipments. The table below is excerpted from
representative sections of the original table and then translated into English. 
  

													
	 No.
	  	 CAS

No.
	  	 Name
	  	 Specification
	  	 Brand or

Origin
	  	 Provider
	  	 Price

	1	  	75-09-2	  	Dichloromethane	  	AR	  	Hushi	  	Guoyao Group	  	10.500
		  		  		  	500ml/Bottle	  		  		  	
		  		  		  	AR	  	Shishi	  	Shangshi	  	9.000
		  		  		  	500ml/Bottle	  		  	Reagent	  	
		  		  		  	AR	  	Fourth Reagent	  	Fourth Reagent	  	8.600
		  		  		  	500ml/Bottle	  	Factory	  	Factory	  	
		  		  		  	Industrial	  	Kunshan	  	Kunshan	  	37.500
		  		  		  	5kg/Barrel	  	Haohua	  	Haohua	  	
	2	  	141-78-	  	Ethyl acetate	  	AR	  	Enox	  	Runjie	  	6.800
		  	6	  		  	500ml/Bottle	  		  	Chemical	  	
		  		  		  	AR	  	Fourth Reagent	  	Fourth Reagent	  	7.600
		  		  		  	500ml/Bottle	  	Factory	  	Factory	  	
		  		  		  	Industrial	  	Kunshan	  	Kunshan	  	54.000
		  		  		  	5kg/Barrel	  	Haohua	  	Haohua	  	
	3	  	8032-	  	Petroleum ether	  	Industrial	  	Laiying	  	Laiying	  	42.441
		  	32-4	  	60-90°	  	4.3kg/Barrel	  	Chemical	  	Chemical	  	
		  		  		  	Industrial	  	Kunshan	  	Kunshan	  	35.200
		  		  		  	4kg/Barrel	  	Haohua	  	Haohua	  	
		  		  		  	AR (60-90 °C)	  	Hushi	  	Guoyao Group	  	7.600
		  		  		  	500ml/Bottle	  		  		  	
		  		  		  	AR (60-90 °C)	  	Fourth Reagent	  	Fourth Reagent	  	5.500
		  		  		  	500ml/Bottle	  	Factory	  	Factory	  	
	4	  	64-17-5	  	95% Ethanol	  	Industrial	  	Kunshan	  	Kunshan	  	30.600
		  		  		  	4.5kg/Barrel	  	Haohua	  	Haohua	  	
	5	  		  	Anhydrous	  	AR	  	Hushi	  	Guoyao Group	  	5.150
		  		  	ethanol	  	500ml/Bottle	  		  		  	
		  		  		  	AR	  	Fourth Reagent	  	Fourth Reagent	  	5.500
		  		  		  	500ml/Bottle	  	Factory	  	Factory	  	
	...	  		  		  		  		  		  	
	51	  	100-46-	  	Benzylamine	  	CP	  	Hushi	  	Guoyao Group	  	42.100
		  	9	  		  	250ml/Bottle	  		  		  	
	52	  	144-55-	  	Sodium	  	AR (China)	  	Guoyao Group	  	Guoyao Group	  	7.225
		  	8	  	bicarbonate	  	500g/Bottle	  		  		  	
	53	  	7664-	  	Sulfuric acid	  	AR	  	Hushi	  	Guoyao Group	  	6.500
		  	93-9	  	(precursor	  	500ml/Bottle	  		  		  	
		  		  	chemicals)	  	AR	  	Fourth Reagent	  	Fourth Reagent	  	5.500
		  		  		  	500ml/Bottle	  	Factory	  	Factory	  	
	54	  	10035-	  	Hydrobromide	  	AR	  	Hushi	  	Guoyao Group	  	20.910
		  	10-6	  		  	500ml/Bottle	  		  		  	
	55	  	105-36-	  	Bromide acetate	  	CP	  	Hushi	  	Guoyao Group	  	116.365
		  	2	  		  	100ml/Bottle	  		  		  	
	...	  		  		  		  		  		  	
	101	  	18162-	  	Tert-butyl	  	CP	  	Jier	  	Jier	  	172.000
		  	48-6	  	dimethyl	  	100ml/Bottle	  	Biochemistry	  	Biochemistry	  	
		  		  	chlorosilane	  		  	Yanchang	  	Yanchang	  	160.000
		  		  		  		  	Biochemistry	  	Biochemistry	  	
		  		  		  	1g/Bottle	  	Weida	  	Weida	  	400.000
		  		  		  		  	Pharmaceutical	  	Pharmaceutical	  	

  

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	 102
	  	501-53-	  	Benzyl	  	100ml/Bottle	  	Jier	  	Jier	  	200.000
		  	1	  	chloroformate fat	  		  	Biochemistry	  	Biochemistry	  	
	 103
	  	544-92-	  	Cuprous cyanide	  	CP	  	Hushi	  	Guoyao Group	  	76.000
		  	3	  		  	500ml/Bottle	  		  		  	
	 104
	  	57-13-6	  	Urea	  	AR	  	Hushi	  	Guoyao Group	  	11.000
		  		  		  	500ml/Bottle	  		  		  	
	 105
	  	57260-	  	N-Boc-Piperazine	  	500g/Bottle	  	Argal	  	Argal	  	1000.000
		  	71-6	  	crop	  		  		  		  	
		  		  		  	50g/Bottle	  	Argal	  	Argal	  	100.000
	 ...
	  		  		  		  		  		  	
	 151
	  	1692-	  	3-	  	1g/Bottle	  	Alfa	  	Alfa Aesar	  	730.000
		  	25-7	  	Pyridineboronic	  	1g/Bottle	  	Aldrich	  	Sigma	  	700.000
		  		  	acid	  		  		  		  	
		  		  	Pyridine-3-Boric	  	CP 10g/Bottle	  	Huaxing	  	Huaxing	  	20.000
		  		  	acid	  		  	Chemical	  	Chemical	  	
		  		  		  		  	Kaihui	  	Kaihui	  	30.000
		  		  		  		  	Chemical	  	Chemical	  	
	 152
	  	7487-	  	Anhydrous	  	AR	  	Hushi	  	Guoyao Group	  	21.000
		  	88-9	  	magnesium	  	500ml/Bottle	  		  		  	
		  		  	sulfate	  	AR	  	Shishi	  	Shangshi	  	15.000
		  		  		  	500ml/Bottle	  		  	Reagent	  	
	 153
	  	75-31-0	  	Isopropylamine	  	CP	  	Hushi	  	Guoyao Group	  	13.430
		  		  		  	250ml/Bottle	  		  		  	
	 154
	  	7681-	  	Potassium iodide	  	AR	  	Hushi	  	Guoyao Group	  	90.000
		  	11-0	  		  	500ml/Bottle	  		  		  	
		  		  		  	AR	  	Enox	  	Runjie	  	125.000
		  		  		  	500ml/Bottle	  		  	Chemical	  	
	 155
	  	7757-	  	Sodium	  	AR	  	Hushi	  	Guoyao Group	  	7.740
		  	83-7	  		  	500ml/Bottle	  		  		  	
	 ...
	  		  		  		  		  		  	

  

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