Universe Pharmaceuticals Acquires Best Praise International for $10.75 Million to Expand Patent Portfolio in Age-Related and Neurodegenerative Diseases
核心洞察
Universe Pharmaceuticals INC (搜索) (NASDAQ: UPC) has entered into a share purchase agreement to acquire 100% of Best Praise International Limited (搜索) for US$10.75 million, payable in 4,376,552 Class A ordinary shares.
The acquisition brings five Chinese patents spanning age-related diseases (搜索), neurodegenerative conditions (搜索), cognitive disorders (搜索), cardiovascular applications, antibacterial compounds, and drug delivery technologies.
CEO Gang Lai stated the acquired intellectual property complements the company's existing focus on elderly healthcare and may open opportunities for R&D, co-development, licensing, and commercialization.
Universe Pharmaceuticals INC (搜索) (NASDAQ: UPC), a pharmaceutical producer and distributor based in Ji'an, Jiangxi, China, announced on June 26, 2026 that it has entered into a share purchase agreement to acquire 100% of the issued shares of Best Praise International Limited (搜索). The total purchase price of US$10,751,000 will be paid in the form of 4,376,552 Class A ordinary shares of the Company.
The acquisition targets Best Praise's portfolio of five patents in China, which cover several pharmaceutical and healthcare-related areas including age-related diseases (搜索), neurodegenerative conditions (搜索), cognitive disorders (搜索), cardiovascular-related pharmaceutical applications, antibacterial compounds, and drug delivery technologies.
Strategic Rationale and Pipeline Expansion
Universe Pharmaceuticals specializes in the manufacturing, marketing, sales, and distribution of traditional Chinese medicine derivatives products targeting the elderly, with the goal of addressing physical conditions in the aging process and promoting general well-being. The Company also distributes biomedical drugs, medical instruments, Traditional Chinese Medicine Pieces, and dietary supplements manufactured by third-party pharmaceutical companies, with products currently sold across 30 provinces in China.
Mr. Gang Lai, Chief Executive Officer of Universe Pharmaceuticals, commented, "This acquisition reflects our continued efforts to expand the Company's pharmaceutical capabilities. By adding intellectual property assets in areas related to elderly healthcare, cognitive health, cardiovascular applications, antibacterial compounds and drug delivery technologies, we believe Universe Pharmaceuticals will be better positioned to broaden its product pipeline and pursue additional avenues for long-term growth."
The Company believes the patented assets are complementary to its existing focus on elderly healthcare and may provide additional opportunities to pursue research and development projects, co-development efforts, licensing arrangements, or other commercialization opportunities.
Strengthening the Nasdaq-Listed Platform
Mr. Lai further emphasized the transaction's role in enhancing the Company's public market profile: "We also believe this transaction supports the Company's profile as a Nasdaq-listed public company. By adding intellectual property assets to the Company's platform, the Company expects to strengthen its asset base and enhance its long-term capital position. We believe these efforts are important to supporting the Company's continued development and creating value for shareholders."
Transaction Details and Market Response
The acquisition has been approved by Universe Pharmaceuticals' board of directors and is expected to close in the third quarter of 2026, subject to customary closing conditions. The Company noted there can be no assurance that the transaction will be completed on the anticipated terms or timeline, or at all. The share purchase agreement has been filed as an exhibit to a report on Form 6-K with the U.S. Securities and Exchange Commission.
In market trading, UPC shares closed at $2.96 on the Friday prior to the announcement, up 4.23%, and surged 169.29% to $7.97 in after-hours trading. The stock has traded between $2.00 and $11.00 over the past year.
About Universe Pharmaceuticals INC (搜索)
Headquartered in Ji'an, Jiangxi, China, Universe Pharmaceuticals INC (搜索) is a pharmaceutical producer and distributor specializing in traditional Chinese medicine derivatives targeting the elderly population. The Company's products are sold in 30 provinces across China.