Jointown invests CNY 673.2m in Aoyuan Meigu restructuring

Jointown Pharmaceutical Group (SSE:600998) announced that its wholly-owned subsidiary, Hubei Jiuzhou Industrial Park Operation and Management Co., Ltd., has signed a reorganization investment agreement with Aoyuan Meigu Technology Co., Ltd. According to the agreement, Jointown will invest CNY 673.2 million to acquire 360 million shares of Aoyuan Meigu's stock after the reorganization. This investment positions Jointown as a key player in Aoyuan Meigu's restructuring, with the aim of becoming a controlling shareholder and expanding its presence in the beauty and health sectors. The move aligns with Jointown's long-term strategy and is expected to enhance its competitiveness in the healthcare industry. The agreement is subject to certain conditions, including court approval and regulatory clearances, and carries inherent risks and uncertainties.