Tangshan Donghua Iron & Steel Co., Ltd. signed an equity transfer agreement to acquire 40% stake in Tangshan Dafeng Coking Co., Ltd from Huida Sanitary Ware Co.,Ltd for CNY 400 million.
December 16, 2019
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Tangshan Donghua Iron & Steel (Group) Co., Ltd. signed an equity transfer agreement to acquire 40% stake in Tangshan Dafeng Coking Co., Ltd from Huida Sanitary Ware Co.,Ltd (SHSE:603385) for CNY 400 million on July 31, 2019. Out of total consideration, Tangshan Donghua Iron & Steel shall pay Huida Sanitary Ware an owned dividend of CNY 351.9 million on behalf of Tangshan Dafeng Coking. After the agreement becomes effective, Tangshan Donghua Iron & Steel shall pay CNY 80 million to Huida Sanitary Ware. Donghua Iron & Steel shall pay Huida Sanitary Ware the remaining balance after the change registration is completed. Tangshan Dafeng Coking had total assets of CNY 5.5 billion, net assets of CNY 2.7 billion, revenue of CNY 8.3 billion and net profit of CNY 523.1 million for the year ended December 31, 2018. The transaction has been approved at the 9th meeting of the 5th directorate of Huida Sanitary Ware on July 31, 2019 and 2019 and at first extraordinary general meeting of Huida Sanitary Ware on August 16, 2019, and the transaction doesn’t need to submit to the shareholders’ meeting.
Huida Sanitary Ware Co Ltd is a China-based company principally engaged in design, development, manufacturing and sales of sanitary products. The Company's products are comprised of sanitary wares, ceramic tile and other related products. The sanitary wares products include sanitary ceramics, sanitary hardware fittings, bathtubs and bath cabinets. The ceramic tiles products include interior wall tiles and floor tiles. The Company sells its products to both domestic and international markets, including Pakistan, South Korea, Ukraine, Greece, Sri Lanka and other countries.
Tangshan Donghua Iron & Steel Co., Ltd. signed an equity transfer agreement to acquire 40% stake in Tangshan Dafeng Coking Co., Ltd from Huida Sanitary Ware Co.,Ltd for CNY 400 million.