Anglo Group to hold Wenzhou medicine supply and marketing

After reaching strategic cooperation with the Community Medicine service community in Zhejiang Province, the group (000411) of Zhejiang Pharmaceutical Business leading enterprise has also been proposed to hold Wenzhou pharmaceutical supply and Marketing Co., Ltd. to realize its strategic goal of becoming the largest pharmaceutical circulation enterprise in Zhejiang province. The British group announced today July 19, 2010, the company's holding subsidiary, Zhejiang Ying Reiter Industry Co., Ltd. and the Wenzhou supply and marketing of all shareholders signed the framework Agreement on Investment cooperation: the British Reiter industry intends to use the combination of capital increase and equity, investment holding 51% of the shares in Wenzhou, but has not yet determined the amount of investment. Specifically, it is the British Reiter industry in cash, according to the proportion of Wenzhou supply and marketing of 22 of the natural person shareholders of the shares of the Wenzhou supply and marketing, while increasing investment in the supply and marketing of Wenzhou, and ultimately the British Reiter industry to hold the proportion of Wenzhou supply and marketing to reach 51%. Agreement, the completion of this equity cooperation matters, the Wenzhou supply and marketing will be renamed as "Wenzhou Ying Reiter Industry Co., Ltd." and the British Reiter industry became the Wenzhou British special shareholder, Wenzhou British special registered capital of less than 20 million yuan.　　At present, the Wenzhou supply and marketing of the registered capital of 5 million yuan. The British group said after the British Reiter industry becomes the controlling shareholder of Wenzhou, it will create the regional medicine circulation leading enterprise in Wenzhou by the resource allocation, business integration, business development and management promotion, and the principle of mutual benefit, benefit for business development and promotion of efficiency and benefit.　　The Anglo-Reiter industry will integrate its existing business in Wenzhou to the UK. The two sides agreed that the British Reiter industry after the arrival of the Wenzhou British Special Board will be composed of 7 people, Wenzhou supply and marketing delegation of 3 people, the British Reiter industry appointed 4 people, the chairman by the British Reiter industry nominated, vice chairman by the Wenzhou Supply and marketing nomination, elected by the Board of directors, the first operating team in Wenzhou, 3 years, of which the general manager by the Wenzhou Supply and marketing nominations,　　Appointed by the Board of Directors, the executive vice president and the chief Financial Officer are nominated by the British Reiter and appointed by the board. The group said the investment was a strategic investment. According to the three-year strategic plan of the British Reiter industry from 2010 to 2012, it is one of the key tasks of this year's mergers and acquisitions of suitable target enterprises in Wenzhou region.　　Wenzhou Pharmaceutical Supply and Marketing Co., Ltd. is the second region of the regional pharmaceutical circulation enterprises, such as the successful completion of the investment in the supply and marketing of Wenzhou, can achieve resource sharing, complementarity, synergy, to improve the British Reiter industry sales scale, profit and market share in Wenzhou region has important strategic and practical significance. However, the group suggested that the Wenzhou supply and marketing has a certain scale of operation and quality of operation, the industry and its potential competitors a large number of cooperation; As the signing of the agreement is an investment cooperation framework agreement, has not signed a formal capital increase agreement and equity transfer agreement, this investment has the risk of unsuccessful.