Fosun Pharma invests in United Health Insurance via share subscription

Shanghai Fosun Pharmaceutical (HKEX: 2196) has announced a connected transaction involving a share subscription agreement with IFC, ADB and United Health Insurance. Under the agreement, Fosun Pharma will invest RMB270 million to subscribe for 105,468,750 new shares in United Health Insurance. This investment will increase Fosun Pharma's equity stake in United Health Insurance from 14.00% to 20.05%, which will continue to be accounted for as an associate of the company. Fosun High Tech, the controlling shareholder of Fosun Pharma, is also a shareholder in United Health Insurance, making this a connected transaction under Hong Kong Listing Rules. While the deal is subject to reporting and announcement requirements, it is exempt from independent shareholders' approval. The Capital Increase is subject to regulatory approvals.