Gelonghui October 3rd 丨Medi Wecon (02159.HK) announced that on September 30, 2023, Beijing Medway (one of the Group's Chinese operating entities), seller 1, seller 2, investors, current shareholders and target company entered into this agreement. According to this, (i) the investor agreed to subscribe to the registered capital of the target company at a total cost of RMB 52.5 million (that is, the subscription matters); and (ii) the seller conditionally agreed to sell shares, while investors conditionally agreed to sell shares (equivalent to 7.7893% of the total share price of the target company after the expansion of subscription matters) RMB 5250 10,000 yuan (that is, sales matters). Among them, Beijing Mediweikang conditionally agreed to sell 2.2255% of the target company's shares at a cost of RMB 15 million.
Sellers include Shenzhen Tongchuang Zhongke Qianhai Science Control Angel Venture Capital Partnership (Limited Partnership) and Beijing Tongchuang Shared Healthcare Equity Investment Fund Partnership (Limited Partnership). Investors include Beijing Dachen Caizhi SME Development Fund Partnership (limited partnership), Shenzhen Caizhi Chuangying Private Equity Investment Enterprise (limited partnership), and Yangzhou Qifeng Venture Capital Partnership (limited partnership). Current shareholders include Mr. Xu Tianrui, Mr. Yang Weihua, Mr. Ding Shan, Yunfan Hongyi, Leading Win-win, and Leading the Future.
The business scope of the target company (that is, Beijing Lingchuang Medical Valley Technology Development Co., Ltd.) includes technology development, technical consulting, technical services, technology transfer, technology promotion; hosting exhibitions; conference services; computer system services; enterprise planning and translation services; machinery and equipment leasing; sales of office supplies, computer software, hardware and auxiliary equipment, medical equipment (limited to one category); import and export of goods; technology import and export; agent import and export.
The announcement stated that the Group acquired the interests of the target company for investment purposes. The target company has recorded losses for the two years ended December 31, 2022 and the six months ended June 30, 2023, and the Group has not received any dividends from the target company since the acquisition. Considering the relevant performance and return on investment of the target company, the company believes that the sale is a good opportunity for the group to reduce the shares held by the target company and to recover its investment in the target company through the sale. Proceeds from the sale were previously intended to be used for the Group's general working capital.