Neusoft Medical Signed Transfer Agreement with Philips to Acquire 25% Equities in Philips-Neusoft Medical Systems Joint Venture

Neusoft Medical Signed Transfer Agreement with Philips to Acquire 25% Equities
               in Philips-Neusoft Medical Systems Joint Venture

PR Newswire

SHENYANG, China, July 5, 2013

SHENYANG, China, July 5, 2013 /PRNewswire/-- Neusoft Corporation ("Neusoft",
SSE: 600718), a leading IT solution and service provider in China, announced
that Neusoft's wholly owned subsidiary, Neusoft Medical Systems Co., Ltd.
("Neusoft Medical") has signed agreements with Royal Philips Electronics and
its affiliate company ("Philips") on the equities and assets transfer,
intellectual property rights, contracted manufacturing and supply, components
supply, customer service and support of Philips & Neusoft Medical Systems Co.,
Ltd. ("PNMS"). According to the agreement, Neusoft Medical will acquire 25%
equities in PNMS held by Philips, and become the holding company of the
original joint venture.

PNMS was jointly established by Neusoft Medical and Philips in 2004. Neusoft
Medical and Philips held 49% and 51% equities in PNMS respectively. Upon the
completion of the transaction, Neusoft Medical will hold 74% equities in PNMS,
and therefore become the holding company of PNMS. In addition, Philips will
purchase part of the equipments, instruments, and prototypes related to the
development and pilot production of CT systems and high-voltage CT generators.
Also, some staff for R&D and manufacturing of CT system and high-voltage CT
generators will be transferred from PNMS to Philips.

According to the announcement, after the completion of the transaction,
Neusoft Medical and the original joint venture will continue their businesses
in R&D, production and sales of medical systems, such as CT scanners, MRI,
x-ray apparatus, ultrasonic diagnosis apparatus, etc. Besides, Neusoft Medical
and Philips will maintain a partnership based on the previous cooperation
between both sides. In terms of the intellectual property rights, Neusoft
Medical and Philips will both share the intellectual property rights of PNMS
by means of co-ownership and license, while Philips will allow both Neusoft
Medical and the original joint venture to use its background intellectual
property rights within the current scope. Meanwhile, Philips promised to
purchase ultrasonic products from the original joint venture on an exclusive
basis, and further pledged to order CT products with a total value of no less
than RMB 405 million Yuan within the following two years post transaction. In
addition, Philips, the original joint venture and other related parties will
continue to mutually supply medical equipment components, provide customer
services and support, to meet the requirements of respective business
development.

According to the announcement, the joint venture had fulfilled its mission
over the past years, as evidenced by a large number of competitive products
and intellectual property rights. The successful performance of PNMS has built
solid foundation for both sides to further optimize their respective global
deployment and improve their competitiveness. With this transaction, Neusoft
and Philips will be able to develop new products based on their previous
achievements in a more flexible manner in line with their respective
strategies, which will further support their long-term strategic targets and
plans and better help them cope with new opportunities and challenges in the
global market.

It is reported that the transaction is estimated to take place before December
31^st, 2013 or another date agreed upon by both sides. After the completion of
the transaction, PNMS will be renamed and it will no longer use "Philips" in
its name.

About Neusoft Corporation

Neusoft is the leading IT solution and service provider in China with
operations across the globe. Focusing on software technology, Neusoft provides
industry solutions, product engineering solutions and related software
products & platform, and services. With more than 23,000 employees around the
world, Neusoft has a comprehensive marketing and service network in more than
40 cities across China, as well as subsidiaries in the U.S., Japan, Finland,
Germany, Romania, Switzerland, and the United Arab Emirates, etc. The Company
is the first listed software company in China and is traded on the Shanghai
Stock Exchange. For more information, please visit: http://www.neusoft.com.

About Neusoft Medical

Neusoft Medical is based in Shenyang, China. As a wholly-owned subsidiary of
Neusoft Corporation, Neusoft Medical has become the premier developer and
manufacturer of advanced medical equipment in China. Combining strength in
R&D, software development and system integration with collaboration with top
medical institutes and academic institutions, Neusoft Medical has released
more than 20 new products since its founding in 1998 and installed thousands
of medical systems worldwide. For more information, please visit:
http://medical.neusoft.com/en/.

For more information, please contact:

Evelyn Tang
Branding & Marketing Management Center
Neusoft Corporation
Phone: +86-24-8366-5663
Email: tangyi@neusoft.com

SOURCE Neusoft Corporation

Website: http://medical.neusoft.com/en
Website: http://www.neusoft.com
 
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