Jointown Pharmaceutical Group Co., Ltd. announced that it expects to receive CNY 4 billion in funding from a group of investors
November 27, 2016
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Jointown Pharmaceutical Group Co., Ltd. (SHSE:600998) announced a private placement of not more than 203,562,339 A shares at CNY 19.65 per share for gross proceeds of not more than CNY 4,000,000,000 on November 28, 2016. The transaction will include participation from existing investor Chuchang Investment Group Co. Ltd for 101,781,170 shares, Great Wall Guotai (Zhoushan) Industrial M&A Reorganization Fund Partnership Enterprise (Limited Partnership) for 25,445,292 shares, Huaxia Life Insurance Co., Ltd. for 20,356,234 shares, Hubei Zhongjing Capital Investment Development Co., Ltd. for 20,356,234 shares, Zhou Mingde for 15,267,175 shares, Ningbo Meishan Free Trade Port Zone Houyang Qihang Phase II Equity Investment Center (Limited Partnership) for 10,178,117 shares, and Xinjiang Fenghua Shengding Equity Investment Management Co., Ltd. for 10,178,117 shares. The company has signed subscription agreement with the investors. The shares subscribed must not be transferred within 36 months after the issuance. The transaction has been approved at the 16th session of the company’s 3rd directorate and still needs to be approved by the company’s shareholders’ meeting and China Regulatory Securities Commission.
Jointown Pharmaceutical Group Co., Ltd. is principally engaged in the wholesaling and retailing of pharmaceuticals and medical equipments. The Company is also engaged in the research, development and production of drugs, as well as the provision of relevant value-added services. The Company's products mainly include western medicines, proprietary Chinese medicines, Chinese medicine pieces, Chinese herbal medicines, medical equipments, health care products, cosmetics, among others. The Company mainly provides services to direct sales or franchise stores through its retailing businesses.