Beijing Topraise Medical Technology Co., Ltd announces its intention to offer Vigmed Holding AB a SEK 25 million loan as part of a proposed business venture

• Beijing Topraise Medical Technology intends to initiate a discussion with Vigmed to take part in a business venture with Beijing Topraise Medical Technology and its partners, which is believed to enable Vigmed to materialize its business plan.
• As a part of the business venture, Beijing Topraise Medical Technology is prepared to invest in Vigmed by making available a loan of approximately SEK 25 million to Vigmed of which all or part can be converted into shares in Vigmed.
• The rationale for Beijing Topraise Medical Technology to enter into a business venture with, and invest in, Vigmed is that Beijing Topraise Medical Technology believes (i) that it can profit from a commercial venture with Vigmed, and (ii) that an investment in Vigmed could be lucrative, particularly with regard to the said cooperation with Beijing Topraise Medical Technology and its partners.

Greiner Bio-One GmbH ("GBO") announced on 27 February 2017 a public cash offer to the shareholders of Vigmed to transfer all shares in Vigmed to GBO for SEK 1.00 in cash per Vigmed share. The total value of the offer is approximately SEK 65.7 million. The consideration under the offer represents a discount of 13.8 per cent compared to the volume-weighted average trading price over the 30 calendar days ending on 24 February 2017 of SEK 1.16 for the Vigmed share. The initial acceptance period of the offer ends on 27 March 2017. The offer has been recommended by a bid committee noting among other things that Vigmed's loss rate seen in relation to the company's cash position shows that there is a need for the company to raise new capital in the second quarter of 2017.

The abovementioned cooperation and investment rests on the premise that the GBO offer is not completed. The prospects for cooperation can be affected if the offer is completed and Vigmed become a wholly owned subsidiary of GBO.

Beijing Topraise Medical Technology is a fast growing Chinese company which specializes in Chinese marketing and sales of medicine, medical nutrition and medical devices. Beijing Topraise Medical Technology has a large and strong sales network across China. Beijing Topraise Medical Technology's strategy is to build additional business from high performing companies in China, Europe and US. Beijing Topraise Medical Technology's already established cooperation with hospitals, distributors and finance partners in China will secure a strong platform for future expansion.

Beijing Topraise Medical Technology has both in-house research as well as contracted research organizations to support development of new products. The research and development areas are medical nutrition, diet products and medical devices. Beijing Topraise Medical Technology also has a manufacturing plant and research laboratories.

To capitalize on the potential which Beijing Topraise Medical Technology and its partners see in Vigmed, as both a lucrative business partner and an investment object, Beijing Topraise Medical Technology and its partners intend to offer Vigmed to take part of a business venture in China including a loan of SEK 25 million to Vigmed, of which all or part of the loan can be converted into shares in Vigmed.

For any shareholder considering this information from Beijing Topraise Medical Technology when deciding whether to accept the offer from GBO, Beijing Topraise Medical Technology wants to underline that it has previously carried out business negotiations with the board of Vigmed which has not materialized into an agreement. Beijing Topraise Medical Technology can under no circumstances guarantee that it will enter into an agreement with Vigmed on the business venture described in this press release, which may result in that Vigmed is not offered the loan described in this press release. 

Important message
This press release is not a public offering to acquire shares.

21 March 2017 

For additional queries, please contact:
Qingxia Shen, Vice President of Beijing Topraise Medical Technology
Phone: +46 720 10 18 16
Email: [email protected]

The following documents can be retrieved from beQuoted
Beijing Topraise Pressrelease 2017-03-21.pdf

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