TIANYUAN HEALTH (00557) announced that on December 31, 2025, its indirect wholly-owned subsidiary, Zhongning County Lekang Medical Technology Co., Ltd., intends to acquire a 70% equity stake in Ningxia Deshang Outpatient Department Co., Ltd. from Ms. Zou Congxian and Ms. Zou Mixian for a consideration of RMB 2.1 million.
The target company was established to operate a physical examination business in China. Through this acquisition, the Group will obtain a controlling interest in the target company.
It is expected that the target company will continue to generate revenue, which primarily comes from providing physical examination services in China.
The Group believes that the physical examination center operated by the target company, with an operating area of approximately 3,869 square meters and 44 employees including 6 chief and associate chief physicians, will gradually demonstrate its competitive strength within the regional industry.
The Group has been actively expanding in the Chinese medical services field; the acquisition aligns with the Group's expansion strategy in the medical business sector and represents an opportunity to strengthen its existing core operations within the medical business division.
Furthermore, by leveraging the target company's regional advantages and business foundation, the acquisition will enable resource integration and complementary strengths, supporting the Group's continued expansion in the Chinese medical market.
The Directors believe that the acquisition will create synergies for the Group's performance, is in line with the overall development strategy, and will provide solid momentum for future growth.