CSIC maps out DSIC and WSIC share sale plan
China Shipbuilding Industry Corporation (CSIC) has announced a detailed plan to sell part of its stakes in two fully owned yards – Dalian Shipbuilding Industry (DSIC) and Wuchang Shipbuilding Industry (WSIC).
Last month, state-run CSIC announced its intention to sell shares in the two yards and confirmed that it has been negotiating with a number of institutional investors for the deal.
Under the plan, eight strategic investors will invest up to RMB21.87bn ($3.28bn) in total into DSIC and WSIC with debt and cash.
The eight investors are China Cinda Asset Management, China State-owned Capital VC Fund, China Structural Reform Fund Corporation, China Orient Asset Management, China Life, Huabao Trust, China Merchants Pingan Asset Management and Guohua Military-Civilian Integration Development Fund.
Following the completion of the share sale, CSIC’s shareholdings in DSIC and WSIC will be diluted to 57.01% and 63.85% respectively.
CSIC said the deal is part of the group’s debt-to-share restructuring plan and a response to the central government’s supply-end reform policy.