Glonghui July 10th 丨China Environmental Technology (00646.HK)An announcement was issued. On July 10, 2020, Winsum Investment Limited, a wholly-owned subsidiary of the company, signed a subscription agreement with the target company. According to this, Winsum Investment Limited agreed to subscribe for 104,081 new shares issued by the target company at face value with a face value of HK$1 per share. The share purchase price was HK$104,400. Upon completion, Winsum Investment Limited will own 51% of the target company
Before the acquisition, the target company was naivebiotechnology(Hong Kong) Limited is a wholly-owned subsidiary of Houpu Life Science Group Holdings Limited. The target company is an investment holding company with two wholly-owned subsidiaries in China, namely Houpu Biological Cell Bank and Pomay Testing. The target group's business license in China includes biological cell storage services, medical research, biotechnology testing services, research and development of biotechnology materials, biotechnology consulting services, trade and promotion of technology, sales and production of health foods, sale of cosmetics, and sale of medical devices and biotechnological materials. The target group has not carried out any business other than 20 patents related to stem cell and immune cell technology.
According to the announcement, the target group has 20 patents related to stem cell and immune cell technology, and holds various key business licenses related to biological cell technology in China, including but not limited to biological cell storage, medical research, biotechnology testing services, biotechnology research and development. Sale of biotechnological materials and medical devices and biotechnological materials.
One of the Group's strategies is to promote project cooperation in the field of stem cell and immune cell technology, promote the development of medical business with prudence, rigor and professionalism, and enhance the company's overall image and shareholder value.
The board of directors believes that by entering into a subscription agreement, the acquisition will enable the Group to expand its medical business to stem cell and immune cell technology research and development services and applications for the first time, and acquire important biomedical technology capabilities, including professional cell storage services, cell testing services, and promote drug discovery and the application of other stem cell and immune cell technologies. The Group will use this to cooperate with other parties in medical laboratories and life science medical services. The board of directors believes that the biocell business prospects in China and the rest of the world are good, and that this acquisition will likely increase the Group's revenue base and strengthen the Group's position in the healthcare sector.