Shineco Announces Acquisition of Medical Device Company

Core Viewpoint - Shineco, Inc. has announced the acquisition of a 75% equity interest in FuWang (HK) International Company Limited, which is expected to create immediate synergies with Shineco's existing medical device business [1][4]. Acquisition Details - Shineco Life Science Group Hong Kong Co., Limited will pay approximately US $8.8 million in cash, issue 3,400,000 shares of common stock, and transfer a 71.42% equity interest in Dream Partner Limited to the Seller as part of the acquisition [2]. Company Profile of FuWang - FuWang Company specializes in the R&D, production, and commercialization of Class II and III medical devices, including biochemical analyzers and patient monitors, and has a strong market presence in several Chinese provinces [3]. - The company plans to expand into integrated health management, utilizing cloud computing and AI technologies to enhance critical care networks [3]. Financial Projections - FuWang Company is projected to achieve revenues of US$ 11.03 million in 2025, US $13.79 million in 2026, and US$ 17.24 million in 2027, with corresponding net profits of US $1.10 million, US$ 1.38 million, and US$1.72 million respectively [3]. Strategic Importance - The CEO of Shineco emphasized the strategic positioning of FuWang in the medical devices sector and its potential to enhance Shineco's overall financial performance through synergies [4].