Cailian Press, November 15 (Reporter He Fan) zhangzhou pientzehuang pharmaceutical (600436.SH) cooperates with fund to acquire Fujian Cosunter Pharmaceutical (300436.SZ). Today, Fujian Cosunter announced that the Yuanshan Fund plans to transfer nearly 0.2 billion yuan to become a shareholder holding more than 5% of the company, and the partners of Yuanshan Fund include state-owned wholly-owned companies and zhangzhou pientzehuang pharmaceutical wholly-owned subsidiaries, among which zhangzhou pientzehuang pharmaceutical investment is the largest limited partner in the fund.

This evening, Fujian Cosunter announced that the company’s controlling shareholder Aohua Group plans to transfer its 8 million shares (accounting for 5.02% of the company’s total equity) to the Yuanshan Fund through a private transfer. The price for this share agreement transfer is set at 24.50 yuan per share (not lower than 80% of the closing price from the last trading day before the signing of the transfer agreement), with a total transfer price of 0.196 billion yuan. Both parties will jointly promote the industrial cooperation and construction of Fujian Cosunter with the zhangzhou health industry chain to enhance synergistic development and complementary advantages.

The announcement shows that from July 9, 2021, to November 14, 2024, due to the passive dilution from the execution of stock options of Fujian Cosunter, shareholding reductions, and this intended private transfer, the combined shareholding ratio of the controlling shareholder and its concerted parties decreased from 49.41% to 40.89%; the Yuanshan Fund will hold 5.02% of the company’s shares due to this agreement transfer, thus becoming a shareholder holding more than 5%.

The Yuanshan Fund was established on July 12 of this year, with a target scale of 1 billion yuan, of which the initial phase is 0.5 billion yuan, mainly investing in traditional chinese medicine, biomedical, medical instruments, medical services, health care, daily chemical beauty, and related industries. The wholly state-owned company zhangzhou Zhanxin Venture Capital Fund Management Co., Ltd. serves as the general partner of the Yuanshan Fund, while zhangzhou pientzehuang asset management co., ltd., zhangzhou pientzehuang investment management co., ltd., zhangzhou industry private equity co., ltd. and zhangzhou tourism investment group co., ltd. are its limited partners, among which the wholly-owned subsidiary of zhangzhou pientzehuang pharmaceutical, zhangzhou pientzehuang investment has contributed 0.2 billion yuan, becoming the largest partner in terms of contribution ratio at 40%.

In terms of performance, as of the release of this year's third-quarter report, Fujian Cosunter was still in a state of continuous losses. In the first three quarters of this year, Fujian Cosunter’s R&D expenses reached 22.8669 million yuan, and in September, the company successively announced clinical reports for hepatitis B innovative drug surface antigen inhibitors GST-HG131 and hepatitis B innovative drug GST-HG141.

Meanwhile, other traditional chinese medicine companies busy "crossing over" into the innovative drug sector include yunnan baiyao group (000538.SZ) and shijiazhuang yiling pharmaceutical (002603.SZ). Just on the 7th of this month, jiangsu kanion pharmaceutical (600557.SH) announced plans to acquire 100% equity of Zhongxin Pharmaceutical with self-owned funds of 0.27 billion yuan. Upon completion of this transaction, Zhongxin Pharmaceutical will become a wholly-owned subsidiary of jiangsu kanion pharmaceutical. Zhongxin Pharmaceutical is a biomedical new drug R&D company, currently focusing on metabolic diseases and neurological disorders, having obtained six clinical licenses for four innovative drugs, all entering the clinical stage, including two ophthalmic medications and two GLP-1 drugs.