August 24 -- Zhejiang Conba Pharmaceutical (600572.SH) filed it will acquire two Chinese medicine companies from its majority shareholder Conba Group, reports the Shanghai Securities News.

Conba Pharmaceutical will purchase a 77 percent stake in Conba Chinese Medicine and a 100-percent stake in Zhejiang Inofar.

Conba Group announced that it will inject its pharmaceutics assets into the listed company by 2012 to solve the horizontal competition problem. The assets involved Zhejiang Conba Chinese Medicine, Zhejiang Inofar, Yunnan Xitao Green Medicine, Kunming Conba Pharmaceutical and Yunnan Xierkang Pharmaceutical.

Conba Chinese Medicine has registered capital of 45 million yuan and produces Chinese medicine including medicinal liquors. It posted sales revenue of 278 million yuan and net profit of 21.93 million yuan in the first seven months of 2011.

Zhejiang Inofar, another producer of Chinese medicine, chemical preparations, antibiotics and biotechnology medicines, recorded sales revenues of 275 million yuan and net profit of 20.45 million yuan in the first seven months.

Source:CapitalVue