Runsheng Pharmaceutical Co., Ltd. announced that will raise CNY 127,976,190 in an equity round of funding on January 4, 2024. The transaction will include participation from returning investor China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. for 102,380,952, and new investor Chongqing Changsheng Shenghe Pharmaceutical Private Equity Investment Fund Partnership Enterprise for CNY 25,595,238. The registered capital of the company is CNY 364,076,169.

Post-completion of the transaction China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. will acquire 4.1899%, and Chongqing Changsheng Shenghe Pharmaceutical Private Equity Investment Fund Partnership Enterprise will acquire 1.0475% stake in the company. This has been approved in the in the 1st meeting of the board of directors of the China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. The transaction still needs to be reviewed by the shareholders? meeting of the company and undergo internal approval procedures by each transaction party.

The transaction will be completed in 3 tranches, except for the first tranche, the succeeding 2 tranches will be in no order. In the first tranche, the company?s newly-increased registered capital of CNY 10,061,020, in which the newly-increased registered capital of CNY 8,048,817 is from CNY 51,190,475 consideration paid by China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. for the subscription, while the other newly-increased registered capital are paid by Chongqing Changsheng Shenghe Pharmaceutical Private Equity Investment Fund Partnership Enterprise based on the same pricing and subscription. In the Second tranche, the company?s newly-increased registered capital of CNY 4,024,409, in which the newly-registered capital of CNY 3,219,527 is from CNY 2,0476,192 consideration paid by China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. for the subscription, while the other newly-increased registered capital are paid by Chongqing Changsheng Shenghe Pharmaceutical Private Equity Investment Fund Partnership Enterprise based on the same pricing and subscription.

In the third tranche, the company?s newly-increased registered capital of CNY 6,036,613, in which the newly-increased registered capital of CNY 4,829,290 is from CNY 30,714,285 consideration paid by China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. for the subscription, while the other newly-increased registered capital are paid by Chongqing Changsheng Shenghe Pharmaceutical Private Equity Investment Fund Partnership Enterprise based on the same pricing and subscription. Payment for the first tranche shall be within 5 working days after the fulfilment of the pre-requisites, the amount of which will be 30% of the corresponding capital increase price; within 20 working days after the fulfilment date, the target company shall complete the corresponding industrial and commercial change registration procedures, the second tranche payment shall be made within 20 working days after the fulfilment of all pre-requisites and when the target company completes the corresponding industrial and commercial change registration procedures, the third tranche shall be made within 20 working days after the fulfilment of all pre-requisites and when the target company completes the corresponding industrial and commercial change registration procedures. The payments for the second and third tranche are in no order.