Jiangsu Hualan New Pharmaceutical Material (301093.SZ) intends to sell 61.4% equity stake in Tibet Hualan to Hualan Import and Export.

Jiangsu Hualan New Pharmaceutical Material (301093.SZ) announced that the company recently signed a "Equity Transfer Agreement" with Jiangsu Hualan Import and Export Co., Ltd. (referred to as "Hualan Import and Export"). The company plans to transfer its 61.40% equity held in Tibet Hualan Tibetan Medicine Technology Co., Ltd. (referred to as "Tibet Hualan") to Hualan Import and Export for a price of 2.3639 million RMB. After the transaction is completed, the company will no longer hold equity in Tibet Hualan, Tibet Hualan will no longer be included in the company's consolidated financial statements, and Hualan Import and Export will assume the obligation of unpaid capital contributions in Tibet Hualan on behalf of the company.