Tecon Biology to acquire majority stake in animal husbandry firm

Tecon Biology announced the acquisition of a 51% equity stake in Xinjiang Qiangdu Animal Husbandry Technology Company Limited for 127.5 million yuan. This acquisition will make Qiangdu Animal Husbandry a controlling subsidiary of Tecon Biology. The valuation, confirmed by Newlant Property Appraisal Co., Ltd., set Qiangdu Animal Husbandry’s total shareholder equity at 351.1 million yuan as of June 30, 2025. This valuation will be adjusted for a 100 million yuan dividend distribution to pre-acquisition shareholders.

The transaction has been approved by Tecon Biology's board of directors and is pending shareholder approval. Qiangdu Animal Husbandry is committed to an earnings target of 83.67 million yuan in cumulative net profit for the 2025-2027 fiscal years, with any shortfall to be compensated by the controlling shareholder, Qixing Qiangdu Group. This strategic move aligns with Tecon Biology’s long-term development plans to enhance its feed, animal protection, and breeding operations.