Full Press Release Details
Announces Additional Round of New Capital Injection
by Esteemed List of Technology Investment Firms
December 22, 2020 /PRNewswire/ - 111, Inc. ("111" or the "Company") (NASDAQ: YI), a leading digital
healthcare platform company committed to digitally connecting patients with medicine and healthcare services in China, today announced
the successful completion of new capital injection in its principal PRC subsidiary by a selected group of strategic and mission-driven
22, 2020, 1 Pharmacy Yaofang Technology (Shanghai) Co., Ltd. (previously known as Yao Fang Information Technology (Shanghai) Co.,
Ltd.) ("Yao Fang Shanghai"), the principal operating subsidiary of 111 in China, completed a new round of capital
injection from strategic investors. According to the investment agreements, the investors invested in Yao Fang Shanghai an aggregate
of RMB515 million (approximately US$78.75 million*), at a pre-money valuation of RMB10 billion (approximately US$1.53
billion*). This round of funding follows a RMB419.82 million (approximately US$60.49 million) first round secured in
August 2020, bringing total funds raised to-date to RMB934.82 million (approximately US$142.84 million*). This funding
aims at supporting the company in its business expansion, including its capacity to address the growing needs of millions of patients
for digital solutions in healthcare.
to the existing shareholders from previous round of financing, namely, Youkai Investment, Shanghai Strategy Fund, Liangji Industrial
as well as a few other investment firms, 111 welcomes newly joined investors including SAIF Partners, Shenli Investment, Huasai
Fund, Zhangjiang Torch Venture Investment, GeniLink Capital, Shanghai Science & Technology Venture Capital, Renmin Pudong
Investment, Ideate Investments, and Zhangjiang Technology Venture Investment, Huazhi Capital in this second round.
with the capital injection, the investors have agreed to take all necessary and reasonable steps to facilitate the proposed listing
of Yao Fang Shanghai on the Shanghai Stock Exchange's Sci-Tech innovAtion boaRd (the "STAR Market"). In the
event that Yao Fang Shanghai's proposed listing on the STAR Market is not completed before June 30, 2023 or the date other
agreed by Yao Fang Shanghai and investors in writing, the investors of Yao Fang Shanghai may choose to exercise their option to
require the controlling shareholder of Yao Fang Shanghai, Yao Wang Corporation Limited, to redeem all or part of the equity interests
then owned by such investors at a price equal to the initial investment amount plus accrued interest at a simple annual rate of
Liu, Co-Founder, Chairman, and Chief Executive Officer of 111, commented, "We are very proud of the strong support 111 has
received from investors as they continue to embrace digital healthcare innovation. We see the investments from these distinguished
new investors as a strong testament to the confidence these investors have in 111 and its expected contribution in advancing digitalization
in healthcare delivery. 111 is committed to fulfilling its mission on digitally connecting patients with medicine and healthcare
services in China. "
biggest challenge today is responding to the overwhelming number of opportunities with which we are being confronted." Mr.
Liu continued, "as we close this investment round, we will continue to seek out and capitalize on strategic market opportunities,
solidify our leadership in China's digital healthcare market, accelerate business growth and expedite our next phase of
expansion. Furthermore, 111 will continue to pursue its plan to list the shares of Yao Fang Shanghai on the STAR Market, subject
to regulatory approvals and market conditions. Again, we are thrilled that our innovative business model keeps on attracting high
quality and mission driven investors interests on a continuous basis."
Translations from RMB to U.S. dollars are made at a rate of RMB6.5445 to US$1.00, the exchange rate set forth in the H.10 statistical
release of the Board of Governors of the Federal Reserve System as of Dec 11, 2020.
release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning
of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform
Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes," "estimates,"
"target," "confident" and similar statements. Among other things, the Business Outlook and quotations from
management in this announcement, as well as 111's strategic and operational plans, contain forward-looking statements. 111 may
also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission, in
its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers,
directors or employees to third parties. Such statements are based upon management's current expectations and current market and
operating conditions and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are
difficult to predict and many of which are beyond the Company's control. Forward-looking statements involve inherent risks, uncertainties
and other factors that could cause actual results to differ materially from those contained in any such statements. Potential
risks and uncertainties include, but are not limited to, uncertainties as to the Company's ability comply with extensive and evolving
regulatory requirements, its ability to compete effectively in the evolving PRC general health and wellness market, its ability
to manage the growth of its business and expansion plans, its ability to achieve or maintain profitability in the future, its
ability to control the risks associated with its pharmaceutical retail and wholesale businesses, and the Company's ability to
meet the standards necessary to maintain listing of its ADSs on the Nasdaq Global Market, including its ability to cure any non-compliance
with Nasdaq's continued listing criteria. Further information regarding these and other risks, uncertainties or factors is included
in the Company's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is as
of the date of this press release, and 111 does not undertake any obligation to update any forward-looking statement as a result
of new information, future events or otherwise, except as required under applicable law.
(NASDAQ: YI) ("111" or the "Company") is a leading digital healthcare platform committed to digitally connecting
patients with medicine and healthcare services in China. The Company provides consumers with better access to pharmaceutical products
and healthcare services directly through its online retail pharmacy, 1 Drugstore, and indirectly through its offline virtual pharmacy
network. The Company also offers online healthcare services through its internet hospital, 1 Clinic, which provides consumers
with cost-effective and convenient online consultation, electronic prescription service, and patient management service. In addition,
the Company's online wholesale pharmacy, 1 Drug Mall, serves as a one-stop shop for pharmacies to source a vast selection of pharmaceutical
products. With the largest virtual pharmacy network in China, 111 enables offline pharmacies to better serve their customers with
cloud-based services. 111 also provides an omni-channel drug commercialization platform to its strategic partners, which includes
services such as digital marketing, patient education, data analytics, and pricing monitoring.
information on 111, please visit: http://ir.111.com.cn/.
more information, please contact:
+86-021-2053 6666 (China)
Email: 111.ir@gcm.international