On July 28, 2023, Gorka Holding GmbH and Mindray Medical Netherlands B.V. ("Mindray Netherlands"), a wholly-owned subsidiary of Mindray Global (Hong Kong) Limited (a wholly-owned subsidiary of Mindray Medical) entered into a Share Purchase Agreement to acquire 75% equity interest in DiaSys Diagnostic Systems GmbH ("Target Company") , which is held by Gorka Holding GmbH. The total purchase price will be paid by cash and is estimated to be approximately EUR 115 million.
On November 30, 2023, Gorka Holding GmbH and Mindray Netherlands jointly signed a Confirmation of Closing. As the transaction is subject to a closing account adjustment mechanism, after closing, the two parties will make final adjustments to the transaction consideration by taking into account the accounts of cash, liabilities, working capital and interests of minority shareholders of the Target Company on the closing date.
The project has lasted for four years from the initial contact between the two parties to the final successful closing, during which time the difficulty in pushing forward the progress was increased to a certain extent due to the influence of Covid-19. As a leading institution in the field of cross-border transactions between China and Europe, Eurasian Consulting gave full play to its own experience and network advantages during the whole process of the project, always maintaining good and efficient communication with the domestic buyer, and was responsible for the planning and management of the entire sale process and the formulation of core negotiation strategies.
The Target Company of the transaction, DiaSys Diagnostic Systems GmbH ("DiaSys"), is a large multinational company headquartered in Holzheim, Germany, specialized in the research and development, production and sales of in vitro diagnostic products. Since the launch of its first all-liquid, ready-to-use, long-lasting and stable biochemical reagents in 1991, DiaSys has gained a good reputation and market response, and enjoys the reputation of "Father of Liquid Biochemical Reagents" in Europe, as well as being the first in vitro diagnostic reagent manufacturer in Europe to obtain the CE certification. In fiscal year 2022 (October 1, 2021 to September 30, 2022), revenue was EUR 72.77 million and net profit was EUR 4.7 million.
Founded in 1991, Shenzhen Mindray Bio-Medical Electronics Co., Ltd. (“Mindray”) has the most comprehensive product line in the industry, covering three major fields: life information and support, in vitro diagnostics and medical imaging, and meets the clinical needs with safe, efficient and easy-to-use "one-stop" products and IT solutions. After years of development, the company has become a global leading medical device and solution provider. It was listed on the GEM board of the Shenzhen Stock Exchange in October 2018. In 2022 Mindray achieved a revenue of RMB 303.7 billion, and net profit attributed to the parent company of RMB 9.607 billion.
Eurasia Consulting has maintained a good relationship with DiaSys for many years and has assisted DiaSys in the sale of its subsidiary in China as the exclusive seller M&A advisor in 2014, and later participated in the whole process of the minority shareholders' exit in the joint venture after the closing, assisting the minority shareholders to successfully exit in 2022.
The successful acquisition of DiaSys Germany by Mindray Medical is the largest overseas M&A project conducted by a Chinese company in the field of in vitro diagnostic reagents since the Covid-19 outbreak in 2020 and is also another case of significant milestone for Eurasian Consulting.
