Chapter 327 - 227: Equity Swap, a Net Worth of 2.44 Billion

Chapter 327: Chapter 227: Equity Swap, a Net Worth of 2.44 Billion

That very day, Jin Yihong brought Lou Musaang, Jia Jun, and Deng Feifei to meet with Wu Ting for a discussion.

They proposed a plan to counter Pfizer: go all-in on promoting Wu Ting’s new drug, Fengmu Tiada, to restore market confidence and temporarily stabilize the Jin Pharmaceutical Group’s stock price.

As the second phase of investment in Wu’s Pharmaceutical Company, the usage rights for some of the production lines, factories, and laboratories originally slated for the Yangzheng Xiujie Pill were transferred to Wu’s Pharmaceutical Company.

To bolster Wu Ting’s research team, Jia Jun led a team to transfer to Wu’s Pharmaceutical Company, where they would assist Wu Ting and Deng Feifei in the research for the new drug, Fengmu Tiada.

Wu Ting, in turn, secured a high-risk, high-reward condition from this collaboration: he could swap equity in Wu’s Pharmaceutical Company for equity in the Jin Pharmaceutical Group.

An equity swap is a common business practice used to bring in strategic investors or partners.

Through an equity swap, the company’s controlling shareholder and its strategic partners can achieve cross-shareholding, establishing a mutually beneficial relationship.

Although the Jin Pharmaceutical Group was temporarily in dire straits, swapping equity from the practically worthless Wu’s Pharmaceutical Company for shares in the Jin Pharmaceutical Group was, in effect, Jin Yihong handing Wu Ting a fortune on a silver platter.

After all, Wu’s Pharmaceutical Company had nothing but investment capital so far. Wu Ting’s shares were based on patent valuation—to put it bluntly, he was building a fortune from nothing.

It was a surefire way to make his first fortune.

Second, this equity swap demonstrated the Jin Pharmaceutical Group’s serious commitment to Wu Ting’s project. By binding the two companies together, the public announcement would be far more effective at boosting market confidence.

Ultimately, after negotiations between Jin Yihong and Wu Ting, Wu Ting personally acquired a direct 2% stake in the Jin Pharmaceutical Group.

Based on the Jin Pharmaceutical Group’s current market capitalization of 122.1 billion, Wu Ting’s net worth, by valuation, had just skyrocketed to 2.44 billion!

Of course, after this maneuver, Wu Ting and the Jin Pharmaceutical Group were now bound by a common interest.

After all, whether the Jin Pharmaceutical Group’s stock price continued its steady decline or staged a comeback would directly determine the value of Wu Ting’s shares.

Having offered this sweet deal, Jin Yihong then laid out their request: Wu Ting was to cooperate fully with the Jin Pharmaceutical Group to advance the research on the new drug, Fengmu Tiada.

After coming to an agreement with Wu Ting, Jin Yihong contacted Professor Lin Ning.

Three days later, the Jin Pharmaceutical Group, whose stock price was still in decline, held another press conference.

This time, they directly addressed the attacks from three major short-selling firms, including Muddy Waters, as well as the rival product assault from Pfizer Pharmaceutical.

Jin Yihong personally hosted the event. They had also invited Professor Lin Ning from the Southern Country HHMI Research Institute, Wu Ting of Wu’s Pharmaceutical Company, and several expert professors from the field of immunology to lend their support.

At the press conference, Jin Yihong highlighted the new project to be developed by the Jin Pharmaceutical Group and Wu’s Pharmaceutical Company: Fengmu Tiada, a new drug for the curative treatment of Hepatitis B-related primary liver cancer!

It was positioned as the world’s only original drug designed to completely cure Hepatitis B-related primary liver cancer.

This project wasn’t just baseless speculation.

The new drug was based on Wu Ting’s comprehensive research project on the curative diagnosis and treatment of Hepatitis B-related primary liver cancer.

Moreover, the first and second phases of the project had already yielded research results.

Phase one, the P3 predictive diagnosis and treatment method for chronic hepatitis B, had already officially entered the market. The related paper had been submitted to *Liver Transplantation* and would be published soon!

Phase two, which combined immune negative-regulation technology with the Perfect Triple Method’s auxiliary techniques, had resulted in a complete system that was already in production. It was about to officially enter clinical use in the relevant departments of Jinggang University Affiliated First Hospital, Xianglin City Xuanshang University Affiliated Tumor Hospital, the Jin Province Tumor Hospital, and Fan City First Hospital!

As for phase three, Wu Ting also announced that the research had entered the lead compound screening stage and that he would be able to produce a related paper in the near future!

For the third phase of new drug R&D, Wu’s Pharmaceutical Company had been specifically established, receiving investments from Jinggang University’s mother fund and a dedicated sub-fund under the Fan City Mother Fund.

The HHMI Research Institute would also be providing regular, ongoing investment in Wu Ting’s research project.

To everyone’s surprise and delight, the project had also secured funding as a Key Project of the National Natural Science Foundation of China. This, too, would be officially announced soon!

The chairman of the Jin Pharmaceutical Group, Jin Yihong, also expressed the group’s resolute support for Wu Ting’s new project. In addition to a first-phase investment of 20 million, they would be reallocating all relevant production lines, laboratories, and factories previously used for the Yangzheng Xiujie Pill to the Fengmu Tiada project.

The Jin Pharmaceutical Group had also become deeply integrated with Wu’s Pharmaceutical Company through an equity swap agreement!

Dr. Jia Jun, the R&D director at the Jin Pharmaceutical Group’s R&D Center and second only to Lou Musaang, would be leading a team to join Wu’s Pharmaceutical Company.

At the press conference, Jin Yihong also had a response for Xie Bin.

They played a clip from a lecture given at the Jinggang University Medical College.

It showed the invitations extended to Wu Ting by Johnson & Johnson Pharmaceutical, GSK, and Pfizer.

In the video, a well-mannered Xie Bin could be seen praising and extolling Wu Ting’s project, even making an incredibly generous offer:

"...On behalf of the Pfizer Jin Country Research Center, I would like to invite Dr. Wu Ting to lead his team to our R&D center to conduct follow-up research on his project..."