China Modern Dairy Holdings Ltd. (CMD, stock code 1117) and China Shengmu Organic Milk Limited (CSM, stock code 1432) jointly provided an update on 19 January 2026 regarding the possible mandatory conditional cash offer by CLSA Limited, on behalf of CMD, to acquire all issued shares of CSM not already owned or agreed to be acquired by CMD and Start Great Holdings Limited.

The announcement reiterates that the offer remains conditional upon completion of relevant Share Purchase Agreements (SPA). The conditions precedent, as set out previously, must either be satisfied or waived before SPA Completion occurs. According to the update, the required approval from CMD’s independent shareholders was obtained at CMD’s extraordinary general meeting on 16 January 2026. As of the date of the announcement, conditions set out in paragraphs (d) and (e) of the SPA conditions section have not yet been fulfilled or waived, and the overall process continues.

The announcement emphasizes that the offer may or may not proceed, depending on the satisfaction or waiver of conditions. Shareholders and potential investors of both companies are advised to exercise caution when dealing in CMD and CSM shares and should consult professional advisers if in doubt about their positions.