On December 18th, Gelonghui announced that INT MEDICAL (01501.HK) has signed a letter of intent for acquisition, in which the company, the target company Hangzhou Weiqiang Medical Technology Co., Ltd., and other target group companies have agreed to acquire at least 51% controlling equity of the target company through capital increase and purchasing shares from certain Shareholders of the target company.
According to the letter of intent for acquisition, the company conditionally agrees to increase its investment in the target company by no less than 200 million yuan after the acquisition.
According to the letter of intent for acquisition, the company or its designated third party must conditionally pay a prepayment of 30 million yuan after the letter of intent for acquisition becomes effective.
The target company is mainly engaged in the research, development, manufacturing, and sales of aortic and peripheral vascular interventional medical instruments. As aortic and peripheral vascular intervention/implantation is one of the important areas in the company's business layout, the company suggests that acquiring the target company can further improve the company's product layout in the aortic and peripheral vascular intervention and implantation fields.
