Yihua Health Care Plans to Raise ￥1.05 billion from Two Strategic Investors

According to PEdaily.cn, Yihua Health Care has announced that it is going to issue shares to Zhong Guan Bao Investment and Hua Insurance at the price of 4 yuan per share under a private placement, raising a total of about 1 billion yuan, including the issue premium, of which 750 million yuan used to repay the bank loan and the rest for working capital. Zhong Guan Bao Investment plans to subscribe 206 million shares in the amount of 825 million yuan. Hua Insurance intends to subscribe for 56,936,200 shares in the amount of 228 million yuan.

Yihua Health Care is engaged in the operation of medical institutions and retirement communities. The company is committed to building a comprehensive medical service platform and retirement communities across China, and gradually formed an operation system of health care combined with senior care, with expansion to health care and rehabilitation, Medical Internet and other fields. The company currently owns and manages 19 hospitals of nearly 8,000 medical and nursing beds.

On the one hand, Yihua Health Care will rely on its platform, technology and experience in related fields to provide high-quality products and services for the above-mentioned shareholders and related parties in terms of medical services and elderly care. On the other hand, Zhong Guan Bao Investment and Hua Insurance will better support the company's development to do more in-depth work in the medical and senior care market.

Founded on July 2, 2007, as a diversified investment institution Zhong Guan Bao Investment has four branches, including Zhong Guan Bao Capital, Zhong Guan Bao Industries, Zhong Guan Bao Real Estate, and Zhong Guan Bao Construction.

Hua Insurance is a well-known domestic insurance company. Its business covers serious illness insurance, accident insurance, medical insurance, annuity insurance, and others.