HONG KONG, July 12 (Reuters) - Pharmaceutical products distributor Sinopharm Group Co Ltd said late on Wednesday it would buy 60 percent of a medical devices distributor from the controlling parent company for 5.11 billion yuan ($765.4 million), as it aims to expand market share in its medical device distribution business.
Sinopharm will buy the stake in China National Scientific Instruments and Materials Co Ltd from parent, China National Pharmaceutical Group Co Ltd, in a deal to be settled by the issue of 204.56 million domestic shares.
The shares will be issued at 24.97 yuan apiece, representing a 5.6 percent discount to the previous close of Sinopharm stocks in Hong Kong.
The deal, which is subject to independent shareholders’ approval, will strengthen Sinopharm’s comprehensive service capability in China’s healthcare industry, it added.
$1 = 6.6764 Chinese yuan renminbi Reporting by Donny Kwok; Editing by Stephen Coates