Hebei Baoshuo Co., Ltd. cancelled the acquisition of Chengdu Huarong Chemical Co., Ltd. from Newhope Chemicals Investment Co., Ltd.
January 20, 2013 at 11:00 pm EST
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Hebei Baoshuo Co., Ltd. (SHSE:600155) entered into a framework agreement to acquire Chengdu Huarong Chemical Co., Ltd. from Newhope Chemicals Investment Co., Ltd. on January 4, 2011. In a related transaction, Hebei Baoshuo Co., Ltd. agreed to acquire Gansu Xinchuan Chemical Co Ltd. from Jinping Tianhui Investment Co., Ltd., Deyang Maoyuan Industrial Co., Ltd., Newhope Chemicals Investment Co., Ltd., Li Wei, Liu Chang and Wang Shouqin on January 4, 2011. An agreement will be signed. Under the terms of the transaction, Hebei Baoshuo will issue 420 million new shares of Hebei Baoshuo for the acquisition of both Gansu Xinchuan Chemical Co Ltd. and Chengdu Huarong Chemical Co., Ltd. The transaction is resolved by the Board of Hebei Baoshuo on January 4, 2011. The transaction was approved by Board of Directors of Hebei Baoshuo on June 29, 2011. As of July 15, 2011, the transaction has been approved by the shareholders of Hebei Baoshuo.
On June 21, 2012, Hebei Baoshuo's Directors approved the shareholders' meeting to extend validity term of resolution and to extend term of authorizing Directorate to handle issues about assets purchase through shares issuance. Hebei Baoshuo plans to hold the 1st special shareholders' meeting on July 9, 2012 to discuss the transaction.
Hebei Baoshuo Co., Ltd. (SHSE:600155) cancelled the acquisition of Chengdu Huarong Chemical Co., Ltd. from Newhope Chemicals Investment Co., Ltd. on January 21, 2013.
Huarong Chemical Co Ltd is a China-based company principally engaged in the production and sales of potassium hydroxide and related chemical products. The Company's main products consist of fine potassium products and chlorine products, including solid and liquid potassium hydroxide, polyvinyl chloride resin, hydrochloric acid, sodium hypochlorite and liquid chlorine. The Company's products are mainly used in chemical, water treatment, metallurgy, textile, building materials, agriculture and other fields. The Company distributes products within domestic market and to overseas markets, including South Korea, Malaysia, India, South Africa, Brazil and Australia, among others.