Chengda Pharmaceuticals Co. Ltd. (SHE: 301201), based in China, has announced the termination of its “Chengda Pharma Shanghai Institute of Pharmaceutical Research Project.” The company cited unfavorable macroeconomic conditions and its operational status as the primary reasons for this decision. The excess funds raised for the project will be retained in a dedicated account.
The project, which was one of Chengda’s oversubscribed funding initiatives, involved over RMB 160 million (approximately USD 22.4 million), representing 10.07% of the net proceeds from the company’s initial public offering. The initiative was intended to establish a wholly-owned subsidiary to acquire the sixth factory building in the 11th phase of the Lingang Intelligent Manufacturing Park, located in the D0205 plot of Lingang Fengxian Park in Shanghai, for an estimated total cost of RMB 88.6472 million. In addition to the purchase price, the remaining funds were earmarked for construction expenses, with an original timeline set for completion within 24 months.- Flcube.com
