Guangzhou: Shanghai and Hong Kong dual listed Guangzhou Shipyard International has announced that China Securities Regulatory Commission has approved its restructuring plan involving Guangzhou Wenchong Shiyard and Yangzhou Kejin Shipyard.
GSI plans to purchase the entire issued share capital of Huangpu Wenchong at a consideration of RMB 4.527bn, of which 85% of which will be paid by means of share issuance, and 15% by means of cash payment.
The company also plans to purchase shipbuilding assets owned by Yangzhou Kejin for RMB 968m. This will be funded through a share issue, according to GSI’s restructuring proposal.
Huangpu Wenchong is CSSC’s primary base for defense ships, special engineering vessels and ocean engineering equipment in southern China, as well as the very leading manufacturing hub for dredging engineering vessels and feeder container ships.