(Yicai Global) April 11 -- Sunflower Pharmaceutical says ex-Chairman Guan Yanbin is doing well after the controlling shareholder was arrested on suspicion of murder earlier this year.
His ex-wife Zhang Xiaolan, who is in a persistent vegetative state, is also doing well, the Harbin-based kids' medicine maker said in a statement.
The case is separate from the company's business, Sunflower emphasized after its stock [SHE:002737] dived 9.8 percent intraday to CNY17.3 (USD2.58) yesterday. It is traded 1 percent lower at CNY17.98 as of 1.45 p.m. Beijing time today.
Police in Heilongjiang province arrested Guan, 65, on Jan. 29 for intentional homicide, state-backed news site The Paper reported yesterday, though it was unable to furnish details about the supposed victim. The case is still on-going.
Guan holds a 35.8 share of the company, directly and indirectly, the company confirmed. Guan's shareholding has not changed despite his apprehension.
Guan resigned as the firm's chairman and general manager on Jan 1 when he left all posts and his two daughters succeeded him as the chairman and general manager. Guan still enjoys his shareholder rights, the company stated.
The company posted a 16 percent rise in operating income to CNY4.5 billion last year, of which over one-quarter came from the Eastern China region. Net profit attributable to shareholders for the first quarter is forecast to have grown between 5 percent and 15 percent to between CNY150 million (USD22.3 million) and CNY170 million yuan, Sunflower added.
Editor: William Clegg