Vancouver, British Columbia--(Newsfile Corp. - November 17, 2020) - Sunshine Agri-Tech Inc. (NEX: SAI.H) (the "Company") reports that the Company has entered into a share transfer agreement (the "Share Transfer Agreement") dated November 6, 2020 with Nonpaike Bio-Tech (Dalian) Co., Ltd. ("Nonpaike"), an arm's length party to the Company, pursuant to which, the Company has agreed to sell its 100% interest in the wholly-owned subsidiary, Health China Capital Limited, formerly Sunscape (Hong Kong) Limited ("Health HK"), to Nonpaike for CAD$1,100,000. The purchase price was negotiated and determined based on an independent valuation report dated October 13, 2020 prepared by Evans & Evans Inc., which concluded that the fair market value of Health HK was in the range of CAD$1,080,000 to $1,280,000.
The disposition of 100% interest in Health HK (the "Transaction") constitutes a sale of all of the undertaking by the Company, and the closing of the Transaction is subject to the approval of the shareholders of the Company and acceptance of NEX.
The Company has called an Annual and Special General Meeting of its shareholders (the "Meeting") to consider and approve, among other things, the Transaction. The Meeting will be held on December 10, 2020 at 10:00 a.m., Pacific time, at 2300-666 Burrard Street, Vancouver, British Columbia, Canada V6C 2X8. The Company has mailed its Notice of Meeting, Information Circular and Proxy (the "AGM Package") for the Meeting and the AGM Package has posted on SEDAR (www.sedar.com). Shareholders are urged to download a copy from SEDAR, if not already received by mail, and to vote in favour of the special resolution contained therein. The Transaction will not be approved without the affirmative vote of at least two-thirds of the votes cast by the Company's shareholders who vote in person or by proxy on the special resolution at the Meeting.
The board of directors of the Company unanimously recommends that shareholders vote in favour of the special resolution contained in the AMG Package.
About Sunshine Agri-Tech Inc.:
Sunshine Agri-Tech Inc. is a public company listed on NEX. It is currently engaged in the research, development, production and sales of microbial feed additives and related products that aim to improve the health and performance of animals. The Company carries on the business in the city of Dalian in the People's Republic of China.
On Behalf of the Board of Directors
SUNSHINE AGRI-TECH INC.
Baojun Zhang, PhD
Director
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION
Sunshine Agri-Tech Inc. Xiaozhu Pang
Chief Financial Officer
Tel: 778.865.2296
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