Golden Meditech Enters into Agreements with Nanjing Xinjiekou to Sell China Cord Blood Corporation

HONG KONG, Jan. 7, 2016 /PRNewswire/ -- Golden Meditech Holdings Limited (SEHK stock code: 801, TWSE stock code: 910801) ("Golden Meditech" or the "Company", together with its subsidiaries, the "Group"), a leading integrated healthcare enterprise in China, announces that it entered into a conditional sale and purchase agreement with Nanjing Xinjiekou Department Store Co., Ltd. (SSE stock code: 600682) ("Nanjing Xinjiekou") on 6 January 2016 regarding the disposal of its 65.4% equity interest (fully diluted) in China Cord Blood Corporation (NYSE stock code: CO) ("CCBC") for a total consideration of approximately RMB 5.76 billion.

The total consideration consists of a cash payment of approximately US$504.8 million (approximately RMB3.26 billion) and the issue of RMB2.5 billion new equity by Nanjing Xinjiekou at the initial issue price of RMB18.61 per share (the "NXD New Shares"). In exchange, Golden Meditech undertakes to retain CCBC management team for a minimum of three years, agrees to give three years' performance guarantee and agrees to have the NXD New Shares subject to a three years' lock-up period. As part of the performance guarantee, Golden Meditech can choose to compensate Nanjing Xinjiekou, by cash or the NXD New Shares, in case of earnings shortfall in an amount to be calculated based on the percentage of the shortfall multiplied by the total consideration.

Concurrently, Golden Meditech also entered into another conditional sale and purchase agreement with Nanjing Xinjiekou, pursuant to which Golden Meditech agrees to sell the remaining 34.6% equity interest (fully diluted) of CCBC to be obtained to Nanjing Xinjiekou for a total cash consideration of approximately US$267 million (approximately RMB1.73 billion), if the privatisation of CCBC is completed.

The completion of both sale and purchase agreements are conditional upon the satisfaction of effectiveness conditions and the satisfaction (or waiving, if applicable) of all the condition precedents of completion, including but not limited to obtaining all relevant regulatory approvals and shareholders' approvals.

Further details of the sale and purchase agreements will be published by the Company in accordance with the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited and posted on the Company's website as follow: http://www.goldenmeditech.com/eng/ir/announcements.php

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About Golden Meditech Holdings Limited (SEHK stock code: 801, TWSE stock code: 910801)

Golden Meditech (www.goldenmeditech.com) is a leading integrated-healthcare enterprise in China. It is a first-mover in China, having established its dominant positions in several markets including the medical devices market, the cord blood storage market and the hospital management market in the healthcare industry, thanks to its strengths in innovation and market expertise and the ability to capture emerging market opportunities. Going forward, Golden Meditech will continue to pursue a leading position in China's healthcare industry both through organic growth and strategic expansion.

About Nanjing Xinjiekou Department Store Co., Ltd. (SSE stock code: 600682)

Nanjing Xinjiekou (www.njxb.com) is principally engaged in the business of general merchandise retailing, healthcare and aged care services, and is listed on the Shanghai Stock Exchange.

About China Cord Blood Corporation (NYSE stock code: CO)

CCBC (www.chinacordbloodcorp.com), a subsidiary of Golden Meditech, is the first and largest umbilical cord blood bank operator in Mainland China. It is principally engaged in the provision of cord blood collection, laboratory testing, hematopoietic stem cell processing and stem cell storage services. CCBC owns exclusive licenses in Beijing, Guangdong and Zhejiang, and a partial interest in the exclusive operator in Shandong. It is one of the major shareholders of Cordlife Group Limited, the largest cord blood bank operator in Southeast Asia.

SOURCE Golden Meditech Holdings Limited

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