SHANDONG LUOXIN PHARMACY STOCK CO., LTD* (a joint stock limited company incorporated in the People’s Republic of China with limited liability) (Stock Code: 8058) (I) DISCLOSABLE TRANSACTION ACQUISITION OF LAND IN SHANDONG AND CONSTRUCTION OF PRODUCTION FACILITIES; AND (II) CHANGE OF BOARD LOT SIZE OF THE COMPANY THE TRANSACTION]
On 12 June 2007, the Company entered into the Land Acquisition Agreement with the Transferor to acquire the Land Use Rights at a consideration of RMB10,000,000 (equivalent to approximately HK$10,292,301) for the purpose of construction of a multi-purpose warehouse on the ascribed Site to
To facilitate the Construction, on 28 August 2007, the Company has entered into construction contracts amount to a total cost of approximately RMB27,200,000 (equivalent to approximately HK$27,995,060). On 28 August 2007, the Company has also entered into equipment purchase agreements to acquire of manufacturing equipments to be installed into the Production Facilities amount to approximately
Agreements in the above, the Company anticipates the completion of the Production Facilities would require further acquisition of a series of equipments, such as cool watering system, centriguge system, hot-air circulating drying machine, elevator etc (the “Further Acquisition”). Based on the preliminary planning and estimation of the Company with reference to the market value of such equipments, the Further Acquisition will cost to the Company amount to approximately RMB36,135,000 (equivalent to approximately HK$37,191,231).
CHANGE IN BOARD LOT SIZE The Board announces that the board lot size for trading in the H Shares will be changed from 10,000 H Shares to 2,000 H Shares with effect from Tuesday, 18 September 2007. The expected timetable for such change in board lot size is set out below.