Bionime has signed the Subscription Agreement and Strategic Cooperation Structure Agreement with Sannuo on 25th Feb 2014. Bionime and Sannuo will integrate advantages and resource of both companies to enlarge marketing share and build a global leading brand of Glucose Monitor systems.
According to the two agreements mention above,both side will proceed the following important clause:
(1). Bionime and Sannuo will create and develop the retail channels in China ,Hong Kong and Macao. Sannuo will be Bionime’s exclusive distributor for new branding in China.
(2). Sannuo will subscribe the private placement of Bionime’s common stocks no more than 11,000,000 shares, according to the agreements and related laws. Sannuo will subscribe 5,000,000 shares first time and 6,000,000 shares at the second time. The subscribing stock price is NTD 120 per share.
(3). Bionime and Sannuo will cooperate for the long term strategy in the future to build a leading global brand, especially in China. Bionime will set up a factory line in China for the rapid growth in the future.
Sannuo invests Bionime for Bionime’s unique technologic skills, patents , high quality products and global marketing expertise. Based on Sannuo’s advantage in the Retail channels in China, we will create more and higher marketing shares in the future. Our mission is to become the one of the biggest glucose monitor tests Manufacturer of the world.
The funds from the private placement are used to replenish the company’s working capital or pay off debts to improve the financial structure and reduce financial ricks of Bionime. There will be more positive benefits for all shareholders.