China Minmetals Co., Ltd signed a letter of intent to acquire 50.87% stake of China Tungsten and Hightech Materials Co.,Ltd from Hunan Nonferrous Metals Corporation Limited for CNY 3.7 billion.
October 21, 2020
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China Minmetals Co., Ltd signed a letter of intent to acquire 50.87% stake of China Tungsten and Hightech Materials Co.,Ltd (SZSE:000657) from Hunan Nonferrous Metals Corporation Limited on September 28, 2020. China Minmetals Co., Ltd signed a share transfer agreement to acquire 50.87% stake of China Tungsten and Hightech Materials Co.,Ltd (SZSE:000657) from Hunan Nonferrous Metals Corporation Limited for CNY 3.7 billion on October 19, 2020. China Minmetals will acquire 429.7 million non-tradable shares, and 106.6 million restricted shares. China Minmetals shall pay 30% of the share transfer price to the bank account designated by Hunan Nonferrous Metals Corporation Limited within 5 working days from the effective date of this agreement, and the rest shall divide it into two installments (30% and 40%) before applying to the Shenzhen Stock Exchange for the transfer of shares. As the completion of this transaction, Hunan Nonferrous will no longer hold China Tungsten's shares. As on September 28, 2020, the transaction is approved by board of Directors of China Minmetals and Hunan Nonferrous Metals Corporation Limited. As on September 28, 2020, Hunan Nonferrous Metals Holding Group Co., Ltd, sole shareholder of Hunan Nonferrous Metals Corporation, approved the deal. On October 19, 2020, China Minmetals Corporation approved the transaction. Transaction is subject to approval of Shenzhen Stock Exchange. As of November 25, 2020, The transaction has yet to be reviewed and issued by the Shenzhen Stock Exchange and both parties need to apply to the China Securities Depository and Clearing Co., Ltd. Jia Yuan Law Offices acted as legal advisor for China Minmetals.
China Tungsten and Hightech Materials Co Ltd is a China-based company mainly engaged in the production and sales of cemented carbide and tungsten products. The Company is mainly engaged in the research, development, production, sale and trading of cemented carbide and non-ferrous metals such as tungsten, molybdenum, tantalum, niobium and their deep processing products and equipment. The Company's products are mainly used in automobile manufacturing, aerospace, rail transportation, shipbuilding, marine engineering equipment, military industry, mining, tunneling, mechanical mold processing, integrated circuits, steel metallurgy, semiconductors and other manufacturing and processing fields. The Company mainly conducts its businesses in domestic and overseas markets.
China Minmetals Co., Ltd signed a letter of intent to acquire 50.87% stake of China Tungsten and Hightech Materials Co.,Ltd from Hunan Nonferrous Metals Corporation Limited for CNY 3.7 billion.