LakeShore Biopharma Co., Ltd (OTCPK: LSBCF; OTCPK: LSBWF) announced today that its shareholders have approved the proposed merger agreement with Oceanpine Skyline Inc., a significant step toward taking the company private. At an extraordinary general meeting held on June 19, 2026, approximately 86.2% of votes cast supported the merger, which was originally announced on November 4, 2025, and subsequently amended on April 29, 2026.
The approval came from a strong turnout, with 92.3% of the company's outstanding ordinary shares represented at the meeting. Under the terms of the merger agreement, Oceanpine Merger Sub Inc., a wholly owned subsidiary of Parent, will merge with and into LakeShore Biopharma, with the company continuing as the surviving entity and becoming a wholly owned subsidiary of Parent. This transaction will result in LakeShore Biopharma becoming a privately held company, and its shares and warrants will cease to be listed on any public market, including the OTC Pink tier of the OTC Markets. Additionally, the securities will be deregistered under Section 12 of the Securities Exchange Act of 1934 after the merger is completed.
The merger is expected to provide LakeShore Biopharma with greater flexibility to execute its long-term strategy without the pressures of public market reporting and short-term shareholder expectations. The company, previously known as YS Biopharma, focuses on developing vaccines and therapeutic biologics for infectious diseases and cancer, leveraging its proprietary PIKA® immunomodulating technology platform. Its pipeline includes candidates targeting Rabies, Hepatitis B, Influenza, and other viral infections, with operations in China, Singapore, and the Philippines.
Completion of the merger remains subject to the satisfaction or waiver of conditions outlined in the merger agreement. The company stated it will work with the other parties toward closing the transaction in due course. While the press release did not specify a timeline, the shareholder approval marks a critical milestone. The decision to go private comes amid a challenging environment for small-cap biotech firms on OTC markets, where liquidity and valuation can be constrained.
For LakeShore Biopharma, which has faced regulatory and market hurdles, the merger could provide the financial and operational stability needed to advance its product pipeline. The company's forward-looking statements caution that actual results may differ materially due to risks such as the possibility that the merger may not occur if conditions are not met, financing availability, and other uncertainties detailed in filings with the U.S. Securities and Exchange Commission. Further information on these risks is available in the company's Schedule 13E-3 and proxy statement.
The shareholder approval underscores confidence in the merger's potential to unlock value for investors while allowing the company to focus on its mission of delivering new generations of vaccines and therapeutic biologics. As the transaction progresses, stakeholders will watch for updates on the satisfaction of closing conditions and the ultimate delisting of securities.
