Zhejiang Yatai Pharmaceutical Co., Ltd. signed a mediation agreement to acquire the remaining 49% stake in Wuhan Optics Valley Yatai Pharmaceutical Co., Ltd. from Hubei Science & Technology Investment Group Corporation Limited.
September 14, 2020
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Zhejiang Yatai Pharmaceutical Co., Ltd. (SZSE:002370) signed a mediation agreement to acquire the remaining 49% stake in Wuhan Optics Valley Yatai Pharmaceutical Co., Ltd. from Hubei Science & Technology Investment Group Corporation Limited on September 14, 2020. The purchase price for the transaction is based on the investment capital of approximately CNY 400 million. Under the terms of the transaction, the purchase price will be paid in two installments. A one-time payment of approximately CNY 300 million of investment principal and all corresponding interests will be paid within 7 days after signing of the agreement and a one-time investment of approximately CNY 100 million and the corresponding full interest will be paid before September 30, 2021. Zhejiang Yatai already paid an investment of CNY 300 million and corresponding interest of CNY 37.6 million. Shaoxing Xingya Pharmaceutical Co., Ltd, a subsidiary of Zhejiang Yatai will use its housing ownership and land ownership to provide a mortgage guarantee for the above-mentioned equity repurchase part of CNY 100 million and corresponding interest. As on April 1, 2021, Zhejiang Yatai Pharmaceutical paid CNY 100 million in advance and the corresponding interest of CNY 9.6 million. After the payment of the remaining part of the investment and the corresponding interest is completed, the company will subsequently go through the relevant industrial and commercial change registration procedures as soon as possible, and release the corresponding mortgage guarantee. Upon completion, Zhejiang Yatai will now hold 100% stake in Wuhan Optics.
Zhejiang Yatai Pharmaceutical Co., Ltd. is a China-based company engaged in the manufacture and distribution of drugs. The Company's main business consists of the research, development, production and sales of chemical agents, chemical raw materials and diagnostic reagents, as well as the provision of pharmaceutical research and development outsourcing (CRO) services. The Companyâs chemical agents are classified as antibiotics and non-antibiotic drugs. Along with its subsidiaries, the Company provides preclinical research services, clinical research services and other advisory services. The Company distributes its products primarily in domestic markets and overseas markets.
Zhejiang Yatai Pharmaceutical Co., Ltd. signed a mediation agreement to acquire the remaining 49% stake in Wuhan Optics Valley Yatai Pharmaceutical Co., Ltd. from Hubei Science & Technology Investment Group Corporation Limited.