Tigermed to divest target group for 270 million yuan in internal transaction

Hangzhou Tigermed Consulting Co., Ltd. announced its intention to divest its entire issued share capital in Shanghai Guahe Medical Technology Co., Ltd. for a total consideration of 270,000,000 yuan. This transaction involves Tigermed and its wholly-owned subsidiary Jiaxing Xinge Medical Technology Co., Ltd. entering into a share transfer agreement with Fangda Pharmaceutical Technology (Shanghai) Co., Ltd., a wholly-owned subsidiary of Fangda Holdings, which is also a subsidiary of Tigermed. The consideration was determined after fair negotiation, referencing the target company's valuation of 270,000,000 yuan as of June 30, 2025, based on a market-based assessment.

Despite the divestment, the target company, along with its subsidiaries Guahe Medical (Hong Kong) Co., Ltd. and Wuxi Guahe Medical Laboratory Co., Ltd., will remain subsidiaries of Hangzhou Tigermed Consulting. The transaction, classified as an internal group transaction, is not expected to significantly impact the group's consolidated financial position. The completion of the sale is subject to certain conditions precedent, including the approval of Fangda Holdings' independent shareholders.

The board believes this divestment will allow the group to optimize resource allocation and enhance operational efficiency by integrating the target group's business into Fangda Holdings. This move aims to improve coordination of business functions, promote synergistic effects, achieve centralized management, and simplify decision-making processes, ultimately enhancing cost-effectiveness and operational focus.