
Luye Pharma Injects RMB285 Million into Nanjing Unit via Structured Deal

Luye Pharma Group has announced a RMB285 million capital injection into its subsidiary, Nanjing Luye, through a structured deal involving Nanjing Xinan and Ningbo Cinda. This investment will leave Luye Pharma with a 70.01% stake in the subsidiary. The deal includes equity option agreements allowing Luye’s affiliate to buy out new investors' stakes. This transaction is classified as a deemed partial disposal under Hong Kong listing rules, highlighting Luye's flexible financing strategy while maintaining control over its Nanjing operations. The current analyst rating for Luye Pharma stock is a Hold with a price target of HK$3.00.
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