Zhitong Finance App News, China Regenerative Medicine (08158) announced that on December 29, 2023 (after the transaction period), China Regenerative Health, Changzhou Starry Sky, and the target company Changzhou Bomei Biotechnology Co., Ltd. signed a capital increase and subscription agreement. According to this, China Regenerative Health must inject RMB 10.25 million into the target company in cash, of which RMB 250,000 will be injected to increase the target company's registered capital, while RMB 10 million will be injected into its capital reserve. After completion, the target company will hold approximately 33.3% of China Regenerative Health's rights and about 66.7% of the shares will be held by Changzhou Starry Sky.
The announcement stated that in order to provide the Group's high-end customers with better products and services, the Group decided to expand its health products business. The directors believe that the Big Health Products business can strengthen the loyalty of high-end customers to our healthcare brands, increase customer retention, and stimulate the growth of the big health products market. This initiative will introduce high-quality customer resources to its medical centers and promote the two-way flow of products and services, thereby creating business synergy effects. The Group aims to provide big health products that complement existing medical services, cultivate higher customer loyalty, and strengthen brand awareness. The development of new big health products is also a channel for our medical center to attract more high-quality customer resources.
The target company aims to use capital injections from China Regenerative Health to strengthen its R&D capabilities; expand the target company's existing business sales channels; and meet its working capital and general corporate needs.