Tianda Pharmaceuticals Ltd is pleased to announce its wholly-owned subsidiary TDMall (Hong Kong) Ltd  has acquired 50.1% equity interests in both Yeung & Young Medicare Centre Ltd and Qi's Living Company Ltd (Qi's Living), for a total consideration of HK$25 million. Leaders in their markets in Hong Kong, Yeung & Young is principally engaged in the provision of high-end and modern TCM (traditional Chinese medicine) consultation and services, and Qi's Living, a wholly-owned subsidiary of Yeung & Young after the restructuring, is principally engaged in the sales of TCM healthcare products. Dr. Yeung Ming Ha, founder of Yeung & Young and Qi's Living, will continue as a Director of both companies for not less than 15 years, responsible for managing daily operations of the companies to ensure steady business development and sustainable growth. In addition, Tianda Pharmaceuticals and Dr Yeung have established long-term cooperation, including Dr Yeung's appointment as Chief Operating Officer of TDMall (Group) Ltd, the parent company of TDMall HK, for not less than 15 years, to assist in the development of TDMall HK leveraging her extensive experience of TCM and influence in the TCM industry.

HKSE-listed Tianda Pharmaceuticals, rooted in the Guangdong-Hong Kong-Macao Greater Bay Area, implements three key development strategies: the development of the Chinese medicine business as the foundation, the development of innovative medicines and medical technologies, and the development of quality medical and healthcare services.

It is committed to becoming a pharmaceutical enterprise with competitive advantage and core competencies in drug R&D and manufacturing, Chinese medical consultation and treatment, and medical technology and health management. Tianda Pharmaceuticals forges the entire TCM industrial chain from Chinese medicine practice and Chinese herbal medicine to the application of artificial intelligence in TCM, and engages in the supply of Chinese medicinal herbs and the production of TCM decoction pieces.

Tianda Pharmaceuticals established the "Tianda Standard" to control TCM quality, and launched TDMall, a modern style Chinese medicine clinic. TDMall adheres to the Chinese medicine philosophy, "a great physician treats an illness before it develops", and abides by the treatment principle, "medication should be stopped once its efficacy shows, and treatment should be centred on the patient". TDMall exercises strict control on the quality of Chinese medicinal materials by complying with the "Tianda Standard". By integrating modern medical science and other innovative technologies, TDMall provides featured specialties, general TCM treatment, health preservation and health management services and establishes personalized systems for disease diagnosis, treatment and prevention along with health preservation, thereby achieving the unification of man and nature, of tradition and modernity, as well as of prevention and treatment in pursuit of the harmony of man and the universe.

TDMall is based in the Guangdong-Hong Kong-Macao Greater Bay Area, seeking to expand nationwide and even globally in the long term. TDMalls have been opened in Zhuhai, Hong Kong and Sydney successively from 2019. Through leveraging Internet technology, big data, AI and other innovative technologies, a "Cloud TDMall" was constructed, designed to realize the integration of online and offline Chinese medicine services, remote diagnosis and treatment and joint expert consultation services, to enable the provision of quality, convenient and comprehensive Chinese medicine healthcare services to the public, with an aim of promoting TCM inheritance innovation and development.

Yeung & Young is a Chinese medical institution in Hong Kong. Based on TCM medical theories and empirical science, employing advanced medical technology and equipment, and using quality Chinese herbal medicines, it provides high-end and modern Chinese medical services, including Chinese medical consultation, acupuncture, cupping therapy, tui-na, skin and body check, and other health management services. In addition, it is also engaged in the sales of TCM healthcare products through Qi's Living. As a renowned registered Chinese medicine practitioner, Dr. Yeung has gained wide public recognition and media presence for her exquisite medical skills and popular publications relating to Chinese medicine and healthcare. In addition to her clinical work, Dr. Yeung has widely participated in research and development of organic Chinese medicinal skincare products and gained profound knowledge in Chinese medicine dermatology.

The acquisition and the cooperation will bring multiple benefits to Tianda Pharmaceuticals. Firstly, the extensive experience and expertise accumulated by the acquired companies will be conducive to enhancing the business and operational efficiency of TDMall and the performance of the Group's TCM health care service segment. Secondly, Tianda Pharmaceuticals' TCM service portfolio will be further expended. Through the creation of complementary advantages and promotion of synergistic development between the services and products provided by the Group and the acquired companies, the Group's enlarged Chinese medicine service will be able to cover different customer groups. Thirdly, upon Completion, the financial results of the acquired companies will be consolidated into the Group's financial statements, and their ongoing profitability is expected to contribute to the Group's consolidated income and profits, thereby improving its overall financial performance and market capitalization. Fourthly, Dr. Yeung's joining the TDMall Group will bring greater expertise and management experience to the Group and extensive opportunities to TDMall HK, and facilitate the Group's capturing strategic opportunities in the Guangdong-Hong Kong-Macau Greater Bay Area, giving strong impetus to the development of the TCM industry and the business of TDMall.

A spokesperson of Tianda Pharmaceuticals commented, "the acquisition and cooperation represent an important step for the Group in the development of the entire TCM industrial chain, laying an important foundation and accumulating necessary experience for the expansion and accelerated development of TDMall in the Greater Bay Area, as well as across China and the world. In addition to endogenous growth, Tianda Pharmaceuticals has attached great importance to exogenous growth, engaging in mergers and acquisitions to acquire successful operating entities, talent and experience in the industry as a way to accelerate the pace of business development, and it will continue to identify relevant opportunities. As Chinese medicine has been gaining more attention across the world, we are optimistic about the prospects of the global development of TCM, and will make short, medium and long term development plans in line with national policies. Step by step, we are heading towards achieving our goal of becoming a leading comprehensive pharmaceutical enterprise."