Laobaixing Pharmacy guarantees RMB 100m loan for logistics subsidiary

Laobaixing Pharmacy Chain announced a guarantee of RMB 100 million for its wholly-owned subsidiary, Fengwodadao Pharmaceutical Logistics (Hunan) Co., to facilitate a comprehensive credit line from China Merchants Bank. This move, part of a board and shareholder-approved plan for 2025, aligns with the subsidiary's operational development and the parent company's strategic goals. The guarantee is a joint liability, covering various financial services, and is within the previously authorized RMB 980 million guarantee limit for 2025.

As of the announcement date, Laobaixing's total external guarantees amount to RMB 980 million, representing 13.69% of its latest audited net assets. The current outstanding guarantee balance, including this latest commitment, is RMB 440 million. All these guarantees are provided to consolidated subsidiaries, with no guarantees extended to controlling shareholders, actual controllers, or related parties, and no overdue guarantees.

Fengwodadao Pharmaceutical Logistics (Hunan) Co. reported total assets of RMB 620,899.58 at the end of June 2025, with liabilities of RMB 559,164.13 and net assets of RMB 61,735.45. For the first half of 2024, the subsidiary generated revenue of RMB 321,681.11 and a net profit of RMB 16,329.59.