HONG KONG (Reuters) - Chinese medical company Sinocare Inc 300298.SZ is in preliminary talks on a potential deal, it said on Tuesday after Reuters reported last week that it was a potential bidder for U.S. group Johnson & Johnson’s (JNJ.N) diabetes care business.
Reuters reported on Jan. 17 that a consortium of Sinocare and China Jianyin Investment, owned by sovereign wealth fund China Investment Corp, has hired an adviser to work on a possible deal with J&J worth up to $4 billion.
Sinocare, which develops and manufactures blood sugar monitoring systems, said in a stock exchange filing that it had hired advisers to study the structure and pricing of a potential transaction but had not submitted any binding bid to the potential seller nor reached any agreement.
The company said there is no timetable for a bidding process and no guarantee that talks would continue.
Sinocare, which suspended trading of its shares on Jan. 18, will resume trading tomorrow, it said.
Reporting by Kane Wu; Editing by David Goodman