November 7 -- Yabao Pharmaceutical Group (600351.SH) plans to issue up to 77.05 million shares at 6.11 yuan per share in order to raise a maximum of 470 million yuan from its private placement, reports yicai.com, citing a company filing.

Net proceeds raised will be used to invest in quality control systems for Safflower production, a production line for solid preparations, a cGMP production facility, and related projects.

Controlling shareholder Shanxi Yabao Investment, will subscribe to 42.05 million shares, while Jiangsu Ruihua Investment Holding and Tatwah Smartech (002512) will subscribe to 18 million shares and 10 million shares, respectively.

The company will invest 190 million yuan into solid preparation cGMP, and the factory design, production and management meet the FDA’s requirements.