Summary by Moomoo AI
Health International Medical Group Limited (“HealthCare International”) issued a notice on 19 April 2024, mentioning its acquisition of Central Medical Group Limited and its subsidiaries (the “Target Group”). The transaction includes a profit guarantee that the target group's audited consolidated net profit should not be less than HK$3000 million. However, the Target Group's adjusted net profit for the year ended 31 March 2023 was only HK$23.5 million, falling short of the performance targets guaranteed by the profit margin. Under the adjustment mechanism of the purchase agreement, the sellers are required to pay approximately HK$9800 million jointly and individually to the buyer. As of the date of the announcement, the seller has not fulfilled the relevant obligations.