Shenzhen Wanze Precision Casting Technology Co., Ltd. and Wedge Industrial Co., Ltd. agreed to acquire Inner Mongolia Shuangqi Pharmaceutical Co., Ltd. from Wanze Group Co., Ltd. and Shenzhen Wanze Pharmaceutical Investment Co., Ltd. for CNY 1.2 billion.
January 16, 2019
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Shenzhen Wanze Precision Casting Technology Co., Ltd. and Wedge Industrial Co., Ltd. (SZSE:000534) agreed to acquire Inner Mongolia Shuangqi Pharmaceutical Co., Ltd. from Wanze Group Co., Ltd. and Shenzhen Wanze Pharmaceutical Investment Co., Ltd. for CNY 1.2 billion on January 2, 2019. The overall plan for this transaction is a major asset replacement. Wedge Industrial Co., Ltd. intends to replace 100% of Changzhou Wanze Tianhai Real Estate Co., Ltd. and 69% of Beijing Wanze Bixuan Real Estate Development Co., Ltd. with 100% of Inner Mongolia Shuangqi Pharmaceutical Co., Ltd. held by Wanze Group Co., Ltd. and Shenzhen Wanze Pharmaceutical Investment Co., Ltd.
The price of 100% of Inner Mongolia Shuangqi Pharmaceutical Co., Ltd. is CNY 1.2 billion, the price of 100% of Changzhou Wanze Tianhai Real Estate Co., Ltd. is CNY 1.1 billion and the price of 69% of Beijing Wanze Bixuan Real Estate Development Co., Ltd. is CNY 119.6 million. The price difference between price of Inner Mongolia Shuangqi Pharmaceutical Co., Ltd., Changzhou Wanze Tianhai Real Estate Co., Ltd. and 69% stake of Beijing Wanze Bixuan Real Estate Development Co., Ltd. is CNY 1 million. Wedge Industrial Co., Ltd. will acquire 99.92% and Shenzhen Wanze Precision Casting Technology Co., Ltd. will acquire 0.08% of the shares of Inner Mongolia Shuangqi Pharmaceutical Co., Ltd. The transaction needs to be approved by the shareholders' meeting of Wedge Industrial Co., Ltd. As on January 2, 2019, Wedge Industrial Co., Ltd. held the 63rd meeting of the 9th Directorate and approved the deal. On January 2, 2019, Wanze Group Co., Ltd. held a shareholders meeting to deliberate and approve the deal. On January 2, 2019, Shenzhen Wanze Pharmaceutical Investment Co., Ltd. held a shareholders meeting to review and approve the deal. As of January 23, 2019, the transaction has been approved by the shareholders of Wedge Industrial Co., Ltd. Caida Securities Co.,Ltd. Caida Securities Co.,Ltd. acted as financial advisor to Wedge Industrial Co., Ltd.
Wedge Industrial Co Ltd is a China-based company mainly engaged in pharmaceutical manufacturing business. The Company's main businesses include the research and development, production and sales of micro-ecological live bacteria products, superalloys and products thereof. The Company also engages in metal detection and processing services. The Company's products include bifidobacterium lactobacillus triple viable bacteria tablets, vaginal lactobacillus viable bacteria capsules and probiotic dietary supplements and other micro-ecological viable bacteria products, as well as precision casting blades, superalloy powder discs, high temperature master alloys and alloy powder and other high-temperature alloy products. The Company mainly operates its businesses in the domestic and overseas markets.
WEDGE INDUSTRIAL CO.,LTD. 
