Asymchem Laboratories (06821) announced on July 30, 2026, that it has entered into a capital increase agreement with its target company, Shanghai Asymchem Biotechnology Development Co., Ltd., along with Asymchem Biotechnology, Hillhouse Qirui, Zhuohai Daiheng, Dr. Hao Hong, Kailai Tongxin, and Haihe Kailai Fund. Under this agreement, the company and investors will collectively contribute RMB 1.2397 billion to the target company's share capital.

The company will contribute RMB 1.05 billion, Hillhouse Qirui will contribute RMB 177 million, and Dr. Hao Hong will contribute RMB 12.7 million. By signing this agreement, the target company will be able to introduce external investment through a capital increase and share expansion, aligning with the group's future development strategy.

This capital increase is designed to strengthen the target company's financial standing, meet its future capital expenditure and operational expense needs, and enhance its overall competitiveness. It will also support the development of the target company's CDMO business, which includes large molecule drugs, antibody-drug conjugates, mRNA drugs, and other advanced therapies.

As of the date of this announcement, the target company is a non-wholly owned subsidiary of the company, in which the company holds approximately 83.00% equity. The target company operates the group's CDMO business for large molecule drugs, antibody-drug conjugates, mRNA, and other advanced therapies. Upon completion of the capital increase, the target company will be held approximately 83.50% by the company and will remain a non-wholly owned subsidiary.