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CHINA TIAN YUAN HEALTHCARE GROUP LIMITED
中國天元醫療集團有限公司
(Incorporated in the Cayman Islands with limited liability)
(Stock Code: 557)
INSIDE INFORMATION IN RELATION TO PROVISION OF FINANCIAL ASSISTANCE AND ADVANCE TO AN ENTITY
This announcement is made by China Tian Yuan Healthcare Group Limited (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information Provisions (as defined under the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong).
References are made to the announcements of the Company dated 14 July 2017, 4 April 2018, 16 July 2018, 12 November 2018, 21 December 2018 and 12 November 2019 in relation to, among others, (1) the provision of the Facility in an aggregate principal amount of USD13,000,000 by the Company (being the Lender) to the Borrower under the Facility Agreement; (2) the entering of the First Supplemental Deed to the Facility Agreement for amendment on certain terms of the Facility Agreement; (3) the default in repayment of the Facility under the Amended Facility Agreement by the Borrower; (4) the provision of the New Facility in an aggregate principal amount of USD13,000,000 by the Company to the Borrower under the New Facility Agreement;
- the entering of the Second Supplemental Deed to the Facility Agreement for amendments on certain terms of the Amended Facility Agreement and (6) the entering of the Supplemental Deed to the New Facility Agreement in relation to the Extension (the "Announcement"). Unless otherwise defined, the capitalized terms used in this announcement shall have the same meanings as defined in the Announcement.
DEFAULT IN REPAYMENT OF THE NEW FACILITY BY THE BORROWER
As disclosed in the Announcement, the Lender, the Borrower and the Guarantors entered into the Supplemental Deed to the New Facility Agreement pursuant to which the Extended Repayment Date was on 12 February 2020.
On 12 February 2020, the principal amount of the New Facility in the amount of USD13,000,000 has fallen due. The Board was informed by the Borrower before the date of this announcement that it was unable to repay the said principal amount and the accrued interest of the New Facility in the amount of approximately USD1,850,000 by the Extended Repayment Date (12 February 2020), which constituted a default in repayment of the principal amount and accrued interest of the New Facility under the New Facility Agreement (as supplemented and amended by the Supplemental Deed).
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The Company is seeking legal advice as to how to further protect its interests in connection with the default by the Borrower. In the meantime, the Company will attempt to further negotiate with the Borrower in relation to the repayment arrangement in respect of the New Facility. Further announcement(s) will be made as and when appropriate.
Shareholders of the Company and potential investors are advised to exercise caution when dealing in the shares of the Company.
By order of the Board
China Tian Yuan Healthcare Group Limited
Jiang Yulin
Chairman
Hong Kong, 12 February 2020
As at the date of this announcement, the Board is composed of eight directors of which Mr. Jiang Yulin (chairman) and Ms. Zhang Xian are the executive directors, Ms. He Mei, Mr. Zhang Yupeng and Mr. Zhou Yuan are the non-executive directors and Mr. Hu Baihe, Mr. Yuen Kwok Kuen and Mr. Guo Jingbin are the independent non-executive directors.
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