Eutilex Co., Ltd. announced a private placement of 1,221,858 shares at CNY 160.93851 per share for gross proceeds of CNY 196,644,000 on September 1, 2017. The transaction will include participation from Zhejiang Huahai Pharmaceutical Co., Ltd. (SHSE:600521). On closing, the investor will hold 18.75% stake in the company.

The company and the investor entered into an investment agreement. The transaction is not subject to approval from the directorate and shareholder's meeting of the investor. The company reported total assets of CNY 188,943,000, total liabilities of CNY 34,043,000, net profit of CNY -29,692,000, and net assets of CNY 154,900,000 for the ended December 31, 2016.