Jiangsu Sihuan Bioengineering (000518.SZ) plans to acquire 65.6146% of Zhongrun Pharmaceutical for 160 million yuan.

Jiangsu Sihuan Bioengineering (000518.SZ) announced that the company plans to acquire 65.6146% of the equity of Zhongrun Pharmaceutical Co., Ltd. (referred to as "Zhongrun Pharmaceutical" or "the target company") for a cash price of 160 million yuan. Upon completion of the transaction, Zhongrun Pharmaceutical will become a controlled subsidiary of the company. At the same time, the target company will conduct a targeted capital reduction for the designated shareholders, reducing their total 17.9817% stake in the target company (corresponding to an unpaid capital contribution of 33.71575 million yuan) without compensating for the capital reduction. After the capital reduction is completed, the company will hold 80% of the equity in the target company. It is reported that Zhongrun Pharmaceutical is a pharmaceutical enterprise engaged in drug research and development, manufacturing, and marketing. Its main product, Oseltamivir Phosphate, is a mainstream medication for influenza treatment, with sustained and seasonal market demand. Zhongrun Pharmaceutical has established continuous and stable operating revenue and profits based on this core product. This acquisition is advantageous for the company to realize its business layout in the pharmaceutical sector and build a dual business platform of "biological products + chemical preparations."