Kanghong Pharma uses own funds for low-risk investments

Chengdu Kanghong Pharmaceutical Group (SZSE:002773) announced that its subsidiaries, Chengdu Kanghong Biotechnology and Sichuan Kanghong Pharmaceutical Trade, have used their own funds to purchase financial products. These investments align with the company's strategy, approved by shareholders, to utilize idle capital for low-risk instruments. Specifically, Kanghong Biotechnology invested CNY 390 million in a China Bank structured deposit with a potential return between 0.79% and 3.17% annualized, and CNY 410 million in a similar product with returns between 0.80% and 3.16% annualized. Sichuan Kanghong Pharmaceutical Trade invested CNY 60 million in a Bank of Chengdu structured deposit and CNY 80 million in a CITIC Bank structured deposit. Kanghong Pharma's investment strategy is to select secure, liquid, principal-protected, short-term financial products issued by commercial banks. The total amount of outstanding principal-protected investments is currently CNY 2.245 billion, still within the approved limit of CNY 3.8 billion authorized by shareholders.