Guizhou Salvage Pharmaceutical Co.,Ltd. (SHSE:600227) agreed to acquire 80% stake in Guizhou Zhongguan Biotechnology Co., Ltd. from Guizhou Shengda Biotechnology Co., Ltd. for CNY 1 million on January 25, 2018. As of present parties has not yet signed the formal share acquisition agreement but has already reached an agreement on the agreement’s main terms and conditions. Under the transaction, Guizhou Shengda Biotechnology Co., Ltd. should have a total investment of CNY 10 million in cash in Guizhou Zhongguan Biotechnology Co., Ltd. Post transaction, Guizhou Salvage Pharmaceutical Co.,Ltd. will fulfill the remaining CNY 9 million investment obligation. During the financial year December 2017, Guizhou Zhongguan Biotechnology Co., Ltd. reported assets of CNY 6.55 million, shareholders’ equity of CNY 0.35 million, revenue of CNY 0 and net loss of CNY 0.65 million. The transaction is subject to shareholders approval of Guizhou Salvage Pharmaceutical Co.,Ltd. As on January 25, 2018, transaction has been approved by the Board of Guizhou Salvage Pharmaceutical Co.,Ltd. Guizhou Salvage Pharmaceutical Co.,Ltd. (SHSE:600227) cancelled the acquisition of 80% stake in Guizhou Zhongguan Biotechnology Co., Ltd. from Guizhou Shengda Biotechnology Co., Ltd. on January 25, 2019.