Weigao Group renews agreements, sets caps for connected transactions

Shandong Weigao Group will extend its purchase framework agreement and logistic support services framework agreement until December 31, 2027. The purchase framework agreement, involving medical products from Weigao Holding Group, will see proposed annual caps of RMB1,100.0 million for 2026 and RMB1,210.0 million for 2027. This follows a decrease in actual transaction amounts from RMB1,201.8 million in 2023 to RMB892.0 million in 2024, attributed to the national volume-based procurement policy.

For logistic support services, proposed annual caps for amounts settled by Logistic Company Group are RMB3,720.0 million for 2026 and RMB4,150.0 million for 2027. Corresponding logistic service fees are capped at RMB111.6 million and RMB124.5 million, respectively. Both sets of transactions are considered fair and reasonable, occurring in the ordinary course of business.

The company will also seek shareholder approval at an extraordinary general meeting on December 17, 2025, to reappoint Mr. Li Qiang as an independent non-executive director and to change its company type. Key directors of Weigao Holding have abstained from voting on the connected transaction resolutions.