zhejiang zhenyuan share (000705.SZ) announced that the company plans to trade ownership rights in the Shaoxing Property Exchange Co., Ltd. (Zhejiang Property Exchange ...)
The Smart Financial News APP reported that zhejiang zhenyuan share (000705.SZ) announced that the company plans to use May 31, 2024, as the base date at the Shaoxing Property Exchange Co., Ltd. (Zhejiang Property Exchange Shaoxing Sub-center) to publicly list and increase the capital of its wholly-owned subsidiary Shaoxing Zhenyuan Pharmaceutical Operation Co., Ltd. (referred to as 'Zhenyuan Pharmaceutical') by introducing a leading pharmaceutical commerce enterprise as a strategic investor, raising no less than mmf 119.8618235 million in cash, at a price not less than RMB 1.439517 per RMB 1 of registered capital. Among the raised funds, mmf 83.265306 million will be included in Zhenyuan Pharmaceutical's registered capital, and the remaining funds will be included in Zhenyuan Pharmaceutical's capital reserve. The company will waive its preferential subscription rights in this capital increase. After the capital increase, Zhenyuan Pharmaceutical's registered capital will change to 0.163 billion yuan, with the strategic investor holding 51% equity of Zhenyuan Pharmaceutical and the company holding 49% equity. Zhenyuan Pharmaceutical will no longer be included in the company's consolidated financial statements.
The announcement stated that Zhenyuan Pharmaceutical, as the operating platform for the company's pharmaceutical wholesale business, is increasing its capital and expanding its shares through public listing, with the company waiving its preferential subscription rights. This decision was made prudently based on the current business development status and long-term global strategy of the company. This capital increase and share expansion of Zhenyuan Pharmaceutical will optimize further resource allocation, reduce capital occupation, promote the transformation of the company's business structure, enhance the company’s profitability, and core competitiveness.