Shanghai Pharmaceuticals Holding Co., Ltd (SHSE:601607) entered into an equity transfer agreement to acquire Shanghai SPH Biological Medicine Co., Ltd. from Shanghai Asia Pioneer Pharmaceuticals Co., Ltd. for CNY 750 million on May 27, 2021. The consideration shall be paid to the designated bank account of SPH Biological Medicine within 15 business days from the closing date. Upon completion of the acquisition, Shanghai SPH Biological Medicine Co., Ltd. will become a wholly-owned subsidiary of Shanghai Pharmaceuticals Holding Co., Ltd. Shanghai SPH Biological Medicine Co., Ltd. reported total assets of CNY 384.65 million and net assets of CNY 91.13 million as at March 31, 2021. Shanghai SPH Biological Medicine Co., Ltd. reported revenues of CNY 0 and net loss of CNY 7.87 million for the three months ending March 31, 2021. The transaction is subject to asset valuer recognized by both Shanghai Pharmaceuticals Holding Co., Ltd and Shanghai Asia Pioneer completes the asset valuation of SPH Biological Medicine, the state-owned assets supervision and administration department approves, or accepts the filing of, the valuation of the total equity interest in SPH Biological Medicine, the internal competent corporate authorities of both Shanghai Pharmaceuticals Holding and Shanghai Asia Pioneer approve the acquisition, the representatives and warranties remaining true and no event which would have a material adverse effect on the financial position, operation, assets, business or regulatory environment of SPH Biological Medicine has occurred or may occur as at the closing date. Both Shanghai Pharmaceuticals Holding and Shanghai Asia Pioneer shall cooperate with and procure SPH Biological Medicine to complete the filing in relation to the acquisition to the administration for industry and commerce within 15 business days from the date on which all the conditions precedent in the equity transfer agreement have been fulfilled. The transaction is subject to approval of shareholders of Shanghai Pharmaceuticals Holding Co., Ltd. The Board of Directors of Shanghai Pharmaceuticals Holding approved the transaction on May 27, 2021.