Zhangzhou Pientzehuang Pharmaceutical., Ltd (SHSE:600436) agreed to acquire 29.2% stake in Longhui Pharmaceutical Co., Ltd. from Longhui Group Co., Ltd. and Jinyuan Rongtai Investment Management (Ningxia) Co., Ltd. on July 25, 2020. In a related transaction, Zhangzhou Pientzehuang will also invest fresh capital in Longhui Pharmaceutical Co., Ltd. Zhangzhou Pientzehuang Pharmaceutical., Ltd will in total invest CNY 44.4759 million as a part of both the transactions. Post acquisition, Longhui Group Co., Ltd. and Jinyuan Rongtai Investment Management (Ningxia) Co., Ltd. will hold 33.32% and 15.68% and Zhangzhou Pientzehuang Pharmaceutical., Ltd will hold a 51% stake in Longhui Pharmaceutical Co., Ltd. Zhangzhou Pientzehuang will use its own funds for both the transactions. For the year ended December 31, 2020, Longhui Pharmaceutical Co., Ltd. reported total assets of CNY 43.7627 million, Negative total common equity of CNY 1.4151 million, EBIT of CNY 22.0487 million and Net loss of CNY 6.5468 million.