Shanghai Zhongyida Co., Ltd. agreed to acquire Chifeng Ruiyang Chemical Co., Ltd. from Jiangsu Kailin Ruiyang Chemical Co., Ltd. for approximately CNY 760 million.
October 19, 2019
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Shanghai Zhongyida Co., Ltd. (SHSE:900906) agreed to acquire Chifeng Ruiyang Chemical Co., Ltd. from Jiangsu Kailin Ruiyang Chemical Co., Ltd. for approximately CNY 760 million on October 14, 2019. On October 17, 2019, a major asset purchase agreement was signed. Chifeng Ruiyang Chemical Co., Ltd. reported total assets of CNY 991.45 million and net assets of CNY 296.18 million as at December 31, 2018. Chifeng Ruiyang Chemical Co., Ltd. reported revenues of CNY 1.15 billion and net profit of CNY 104.86 million in 2018. The transaction is subject to approval of shareholders of Shanghai Zhongyida Co., Ltd. On October 14, 2019, the State-owned Assets Supervision and Administration Commission of Guizhou Province approved the transaction. On October 15, 2019, Jiangsu Kailin Ruiyang Chemical Co., Ltd. agreed to the State-owned Assets Supervision and Administration Commission of Guizhou Province’s filing price of Chifeng Ruiyang Chemical Co., Ltd.’s 100% stake. The Board of Directors of Shanghai Zhongyida Co., Ltd. approved the transaction on October 17, 2019. Wang Lin, Liu Hai, Cheng Ming, Liu Zichang, Li Xiaoyin, Gong Jingyi and Tong Dong of Huachuang Securities Co., Ltd. acted as the financial advisors, Zhong Lun Law Firm acted as the legal advisor and Zhongxi Certified Public Accountants acted as the accountant to Shanghai Zhongyida Co., Ltd.
Guizhou Zhongyida Co Ltd, formerly ShangHai ZhongYiDa Co Ltd, is a China-based company principally engaged in the production and sales of fine chemical products. The Company's main products include industrial pentaerythritol, industrial dipentaerythritol, industrial tripentaerythritol, special grade pentaerythritol and other pentaerythritol series products, industrial trimethylolpropane, industrial trimethylolpropane and other trimethylolpropane series products, edible alcohol, as well as by-product distillers dried grains with solubles (DDGS) feed. The Company's products are mainly used in the fields of petroleum, chemical, paint, alcohol and feed. The Company mainly conducts its businesses in domestic and overseas markets.
Shanghai Zhongyida Co., Ltd. agreed to acquire Chifeng Ruiyang Chemical Co., Ltd. from Jiangsu Kailin Ruiyang Chemical Co., Ltd. for approximately CNY 760 million.