MicroPort Scientific's (HKG:0853) unit signed a letter of intent with Tinavi Medical Technologies regarding the potential sale of a controlling stake in Shanghai MicroPort Orthopedics, according to a Hong Kong bourse filing on Wednesday.
The unit, Suzhou MicroPort Orthopedics Scientific, currently holds a nearly 82.3% stake in Shanghai MicroPort Orthopedics. The proposed consideration would be paid through the issuance of new Tinavi shares.
The company said the proposed transaction remains subject to due diligence, definitive agreements and regulatory approvals, and may or may not proceed.
Shares of the medical device company were up nearly 3% in recent trade.