ShanXi C&Y Pharmaceutical Group Co., Ltd. and Chen Jinsong entered into an equity transfer agreement to acquire 15.43% stake in Sichuan C&Y Traditional Chinese Medicine Co., Ltd. from Chen Renhu and Tang Wenjing.
May 26, 2021
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ShanXi C&Y Pharmaceutical Group Co., Ltd. (SZSE:300254) and Chen Jinsong entered into an equity transfer agreement to acquire 15.43% stake in Sichuan C&Y Traditional Chinese Medicine Co., Ltd. from Chen Renhu and Tang Wenjing on May 27, 2021. Pursuant to the terms of the transaction, ShanXi C&Y Pharmaceutical Group Co., Ltd., will acquire an additional 8.6429%, whereas Chen Jinsong will acquire an additional 6.7857% stake (4.2143% stake from Chen Renhu and 2.5714% stake from Tang Wenjing) in Sichuan C&Y Traditional Chinese Medicine Co., Ltd., and as a result of the transaction, stakes of ShanXi C&Y Pharmaceutical Group Co., Ltd., and Chen Jinsong, in Sichuan C&Y Traditional Chinese Medicine Co., Ltd., will increase from 42.3571% 51% and from 42.2143% to 49% respectively. The stakes of Chen Renhu and Tang Wenjing will cease to exist. The consideration will be paid in cash. The transaction does not need to be submitted to the company's shareholders meeting for review. The parties agree that the equity transfer price will be paid in two installments: the transferee shall pay the first installment of equity transfer within 15 working days after this agreement becomes effective, the amount being 50% of the respective equity transfer price determined; The transferee of the remaining equity transfer shall be paid within 15 working days after the completion of the industrial and commercial change registration of the target equity. As at March 31, 2021, Sichuan C&Y Traditional Chinese Medicine Co., Ltd., had total assets of CNY 57.04 million and net assets of CNY 7.8 million.
ShanXi C&Y Pharmaceutical Group Co., Ltd. is principally engaged in the research, development, manufacture and distribution of pharmaceuticals. The Companyâs main products include anti-infective agents, respiratory system agents, cardiovascular drugs, antidepressant drugs, urinary system agents, pediatric agents and other drugs, as well as pharmaceutical raw materials and pharmaceutical intermediates. It also involves in the manufacture and distribution of health food products, as well as the provision of deoxyribonucleic acid (DNA) genetic preservation and pregnant environment testing services. The Company distributes its products in domestic market.
ShanXi C&Y Pharmaceutical Group Co., Ltd. and Chen Jinsong entered into an equity transfer agreement to acquire 15.43% stake in Sichuan C&Y Traditional Chinese Medicine Co., Ltd. from Chen Renhu and Tang Wenjing.