G Medical to spin-off Chinese subsidiary

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Mobile and e-Health company G Medical Innovations (ASX:GMV) has announced a plan to list its Chinese subsidiary, Guangzhou Yimei Innovative Medical Science and Technology, on the main board of The Stock Exchange of Hong Kong.

Israel-based G Medical has developed the Prizma Medical Smartphone Jacket.

The Prizma allows consumers to turn their smartphone into a mobile medical monitor to measure a wide range of vital signs. Users can store their medical data in the cloud and share it with any third party, including healthcare professionals and family.

Under the proposed listing, the Chinese subsidiary would spin off from G Medical, with the ASX listed company to retain not less than a 50 percent ownership stake in the proposed Hong Kong Stock Exchange-listed GYIMSTC. G Medical currently owns 70 percent of GYIMSTC.

The management of G Medical have appointed global Investment Bank, UOB Kay Hian, to act as the financial adviser. The parties are working towards a listing within the next 6 to 9 months. However, G Medical said it "cautions investors" tat there can be no certainty the proposed IPO will proceed and that it is subject to the satisfaction of all legal and regulatory requirements in Australia and Hong Kong.
Guangzhou Yimei Innovative Medical Science and Technology oversees all China-based manufacturing for G Medical.

The company said funds raised from the listing will provide working capital, fuel further research and development and enable continued investment in manufacturing facilities. The amount of capital to be raised will be determined closer to the proposed IPO.
According to G Medical CEO, Dr Yacov Geva, “Our proposed listing of GYIMSTC Ltd on the Stock Exchange of Hong Kong Limited is an important step in our global growth ambitions, shows our continued investment in the Chinese market and delivers an important avenue through which to raise the capital required to continue to innovate and introduce world-leading mobile health monitoring solutions to global markets.”