Shanghai INT Medical Instruments Co., Ltd. (INT Medical) will acquire the remaining 35 % equity interest in Shanghai Pulin Medical Instruments Co., Ltd., lifting its stake from 65 % to full ownership.
The consideration was benchmarked against an independent discounted-cash-flow valuation prepared by Zeneo (Shanghai) Asset Appraisal Firm, which placed Pulin Medical’s total shareholders’ equity at RMB 89.39 million as of 31 March 2026. An asset-based cross-check produced RMB 23.84 million, but the board and valuer adopted the income approach on the grounds that it better captures Pulin Medical’s earnings potential.
Key forecast metrics underpinning the valuation include: • Revenue growth tapering from 15 % in 2026 to 3 % in 2030, reflecting an expected slowdown from the subsidiary’s 2021-2025 CAGR of 27.41 % and the impact of PRC volume-based procurement policies. • Forecast revenue rising from RMB 554.68 million in 2026 to RMB 709.37 million in 2030. • A stable gross margin of 12.90 % and profit-before-tax margin of roughly 2.4–2.5 %. • A weighted average cost of capital of 12.27 %, derived from a 12.64 % cost of equity, 3.50 % cost of debt, and a 25 % tax rate.
Sensitivity testing shows the equity valuation falls to RMB 81.95 million if the discount rate is raised by 1 percentage point and rises to RMB 98.16 million if lowered by the same margin. Adjusting annual revenue growth by ±2 percentage points moves the valuation to RMB 60.45 million or RMB 120.35 million, respectively.
INT Medical expects full ownership to streamline decision-making, strengthen control over its main domestic sales platform and enhance operational synergies across cardiovascular, peripheral vascular, neuro-intervention and orthopaedic product lines.
KPMG has confirmed the arithmetical accuracy of the discounted cash-flow calculations, and the board states that the profit forecast was made after due and careful inquiry. The company also outlined internal-control enhancements after noting a delay in disclosing profit-forecast information in its 29 April 2026 transaction announcement.
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