Beijing Med-Pharm to Acquire Shanghai Rongheng Co Ltd

摘要

Beijing Med-Pharm Corporation announced that it has signed definitive agreements to purchase a majority interest in the Shanghai Rongheng Pharmaceutical Co Ltd. The transaction is subject to a number of conditions including receipt of Chinese centralgovernment approval, and is expected to close by the end of the second quarter of 2007. According to the agreements, Beijing Med-Pharm will acquire a 70 percent stake in Shanghai Rongheng and will begin immediate participation in the management of the company, in anticipation of Chinese government approval of the transaction. A transition team, led by David Gao, has been formed. The current General Manager of Rongheng, Mr Zhou Jianwei, will remain in his position. Mr Zhou has 25 years of experience in the pharmaceuticals business and served as Executive Vice President of Shanghai pharmaceuticals before joining Rongheng.