Xinhua Medical (600587.SH) Announces Non-Public Offering to Raise Up to RMB 1.284 Billion for High-End Minimally Invasive Surgical Instrument Expansion and Other Projects

Gelonghui, December 30 |SHINVA MEDICAL (600587.SH) announced a plan for a non-public offering of shares. The number of shares to be issued in this non-public offering shall not exceed 30% of the company's total share capital prior to the issuance, i.e., no more than 121,928,427 shares (inclusive).

The subscribers to the non-public offering of shares shall be no more than 35 specific investors, including Shandong Health.On December 30, 2021, Shandong Health signed the “Share Subscription Agreement for Non-public Issuance of Shares by SHINVA MEDICAL INSTRUMENT CO.,LTD to Shandong Yiyang Health Industry Development Group Co., Ltd.” with the Company, agreeing to subscribe for the shares issued in cash, with the number of subscribed shares not less than 28.77% of the total number of shares issued in this issuance.

The issue price for this issuance shall not be lower than 80% of the average trading price of the shares over the 20 trading days preceding the pricing benchmark date.

The total amount of funds raised from this non-public offering shall not exceed RMB 1.284 billion (inclusive). After deducting issuance expenses, the net proceeds are intended to be used for the intelligent manufacturing and supporting projects based on flexible machining production lines, the expansion project for the production of high-end precision minimally invasive surgical instruments, the industrialization project for intelligent production equipment for small-volume pharmaceutical preparations, the R&D, testing, and inspection center project for Shinva Medical’s high-end medical equipment, the industrialization construction project for high-performance radiotherapy equipment and medical imaging products, the industrialization project for laboratory series products, and the supplementation of working capital.