HEALTHYWAY INC (02587) Subsidiary to Sell 51% Stake in Fujian Jianchen Pharmaceutical

Stock News2025-12-24

HEALTHYWAY INC (02587) announced that on December 24, 2025, its wholly-owned subsidiary, Zhejiang Healthy Way Technology Group Co., Ltd., intends to sell a 51% stake in Fujian Jianchen Pharmaceutical Co., Ltd. to Ms. Xiao Jing for a total consideration of RMB 1.6779 million.

The target company primarily engages in drug wholesale, distribution of Class III medical devices, and sales of Class I and II medical devices. It experienced temporary revenue growth during the 2023 influenza outbreak due to stockpiling oseltamivir. However, as the pandemic subsided, the limitations of operating as a single-product drug wholesaler became evident.

Starting August 2024, pharmaceutical purchases under supply agreements with other firms failed to meet performance expectations, leading to significant declines in revenue and net profit. Given the relatively high fixed costs of drug procurement, warehousing, logistics, and employee salaries—coupled with underperforming operations—the group decided to divest its stake to optimize costs and efficiency.

Proceeds from the sale will be allocated to developing the group's corporate services and digital marketing operations.

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