Cathay International Holdings Ld Settlement of insurance claims received by Lansen (5642I)

TIDMCTI

RNS Number : 5642I

Cathay International Holdings Ld

20 June 2017

Cathay International Holdings Limited

("Cathay", the "Company" or the "Group")

Settlement of insurance claims received by Lansen

Hong Kong, 20 June 2017 - Cathay International Holdings Ltd. (LSE: CTI.L), an operator and investor in the growing healthcare sector in the People's Republic of China (the "PRC"), today announces that, Lansen Pharmaceutical Holdings Ltd ("Lansen") (HKEX: 503), the Company's 50.56% owned subsidiary, has announced today that judgment was received from the Ningbo Intermediate People's Court of Zhejiang Province (the "Court") in relation to insurance claims receivable concerning the damaged inventories of Ningbo Liwah Plant Extraction Technology Limited ("Liwah Plant Extract") and Ningbo Liwah Pharmaceutical Company Limited ("Ningbo Liwah"). Inventories of approximately RMB26.66 million or USD4.27 million were written- off by Lansen due to flood damage caused by a rainstorm in Ningbo, the PRC in September 2015, further details of which were contained in the Company's annual results for the year to 31 December 2015, released on 30 March 2016, and in Lansen's annual report for the same period.

The Court ordered that the insurance company pay RMB15.00 million and RMB1.50 million (together with applicable interest) to Liwah Plant Extract and Ningbo Liwah respectively. On 16 June 2017, Liwah Plant Extract and Ningbo Liwah received the settlement sums from the insurance company amounting to RMB16.00 million and RMB1.60 million respectively, equivalent in aggregate to approximately USD2.58 million.

The full text of the Lansen Announcement can be found at http://www.hkexnews.hk/listedco/listconews/SEHK/2017/0620/LTN20170620033.pdf and will also be made available at the Announcements & Notices section of Lansen's homepage at http://holding.lansen.com.cn//en/newslist.aspx?NodeCode=10002000700050005.

-ENDS-

For further enquiries, please contact:

Cathay International Holdings Limited

Eric Siu (Finance Director) Tel: [phone]

Patrick Sung (Director and Controller)

N+1 Singer

   Aubrey Powell/ Lauren Kettle - Corporate Finance             Tel: [phone] 

Brough Ransom - Sales

Consilium Strategic Communications

   Mary-Jane Elliott/ Matthew Neal / Lindsey Neville            Tel: [phone] 

About Cathay

Cathay International Holdings Limited (LSE: CTI.L) is a main market listed investment holding company and an operator and investor in the growing healthcare sector in the People's Republic of China (the "PRC"). The Company and its subsidiaries (collectively the "Group") aim to leverage on growth opportunities in the strong and growing domestic demand for high quality healthcare products in the PRC and build its portfolio companies into market sector leaders with competitive edge. Cathay has already demonstrated a strong track record of identifying high- growth potential investment opportunities in this area including: Lansen, a leading specialty pharmaceutical company focused on rheumatology and dermatology in the PRC; Haizi, a company engaged in the manufacture, marketing and sale of inositol and its by-product, di-calcium phosphate; Natural Dailyhealth, a company engaged in production and sales of plant extracts for use as key active ingredients in healthcare products; and Botai, a company engaged in collagen products.

The Group employs approximately 2,000 people across the PRC, including over 30 specialist corporate and business development staff based at the holding company's offices in Hong Kong and Shenzhen. Cathay also has a hotel investment. For more information please visit the Company's website: www.cathay-intl.com.hk.

About Lansen

Lansen, whose shares are listed on the mainboard of the Hong Kong Stock Exchange, is a 50.56% owned subsidiary of Cathay. Lansen is engaged in the manufacture, distribution and development of specialty prescription drugs for treatment of autoimmune disorder in rheumatology and dermatology. Lansen is in the leading market position in disease modifying anti-rheumatic drugs ("DMARDs") for treatment of rheumatoid arthritis ("RA") in the PRC. Lansen has established an extensive distribution network, covering more than 1,000 hospitals in four municipalities, 25 provinces and cities in the PRC. For more information please visit the Lansen's website: http://www.lansen.com.cn/En/index.asp.

This information is provided by RNS

The company news service from the London Stock Exchange

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June 20, 2017 02:00 ET (06:00 GMT)