The shift in the balance of power at Chinese medicine manufacturer Eu Yan Sang (Hong Kong) could be set to accelerate with news that one of the younger Eu family members is in talks that could lead to an offer for the company. Chairman Edward Eu Keng-oi said last night the board had been advised by Robert Eu Yee-sang, a non-executive director, that he was in talks with a financial institution and other Eu family members, who are not directors, regarding a possible offer. In a letter to the board, Robert Eu said the discussions were likely to be concluded in the next three weeks. News of the potential offer came after shares in the company were suspended yesterday at $1. An application has been made to resume trading this morning. The latest twist in a saga that has laid bare divisions between the Eu family's older and younger generations follows notice last week that Premier Investments had entered an agreement to buy between 35 million and 46 million shares at $1.25 each. Premier is owned by the estate of Andrew Eu, whose son Robert is one of the beneficiaries. The purchase is believed to have boosted Premier's stake from 8 per cent to as much as 33.3 per cent, just under the 35 per cent threshold requiring a general offer. The chairman cautioned shareholders that Robert Eu, managing director of H&Q Asia Pacific (Hong Kong), a subsidiary of a venture capital firm, had given no firm intention to make an offer and that there was no certainty the bid talks would be concluded successfully. Edward Eu added that none of the company's directors had recently bought shares in the company. Problems within Eu Yan Sang's management surfaced last month when minority shareholder Modern Bridge challenged the board at the company's annual general meeting. Modern Bridge called for a board reshuffle and raised questions about on-going trademark litigation involving the company. The meeting resulted in the resignation of executive director Charles Eu Keng-peng. Modern Bridge has since sold its 6.6 per cent stake in Eu Yan Sang to Premier.