TIANYUAN HEALTH (00557) announced that on December 31, 2025, its indirectly 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 physical examination services in China.
Through this acquisition, the Group will obtain a controlling interest in the target company. The target company is expected to generate sustained revenue, primarily derived 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 progressively demonstrate its competitive strength within the regional industry.
The Group has been actively expanding its footprint in China's medical services sector. The acquisition aligns with the Group's expansion strategy in the healthcare business and presents an opportunity to strengthen its existing core operations within the medical segment. By leveraging the target company's regional advantages and operational foundation, the Group aims to achieve resource integration and complementary strengths, thereby supporting its continued expansion in the Chinese medical market. The Directors believe the acquisition will create synergies for the Group's performance, fitting the overall development strategy and providing solid momentum for future growth.