Lukang Pharmaceutical secures over 1.18 bn yuan for key projects

Shandong Lukang Pharmaceutical Co., Ltd. (Lukang Pharmaceutical) has announced the successful signing of dedicated fund deposit and supervision agreements with various banks and its sponsor institution. This follows the China Securities Regulatory Commission's approval to issue RMB ordinary shares, raising a total of 1,199,999,995.74 yuan. After deducting issuance expenses, the net proceeds amounted to 1,186,829,138.68 yuan. The funds were received on December 15, 2025, and verified on December 17, 2025.

Lukang Pharmaceutical and its wholly-owned subsidiary, Shandong Lukang Bio-pesticide Co., Ltd., have opened dedicated fund accounts at several banks. These include Industrial and Commercial Bank of China Jining Branch, China Construction Bank Jining Xicheng Sub-branch, Postal Savings Bank of China Jining Gaoxin Branch, and China Merchants Bank Jining Branch. These accounts will support specific projects such as the high-end formulation intelligent manufacturing workshop, bio-pesticide base construction, new drug research and development, and supplementary working capital.

The signed agreements, which align with the regulatory requirements of the Shanghai Stock Exchange, outline strict management protocols for the use and storage of the funds. China International Capital Corporation Limited, as the sponsor, will supervise the use of these funds, ensuring compliance and investor protection.