Ningbo BaoSi Energy Equipment Co., Ltd. agreed to acquire Ningbo Newstar Precision Machinery Co., Ltd. from from Zhu Peng’er, Li Jianhua, Cheng Aidi, Zhu Qingling and Zhu Shifan for approximately CNY 270 million.
July 28, 2016
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Ningbo BaoSi Energy Equipment Co., Ltd. (SZSE:300441) agreed to acquire Ningbo Newstar Precision Machinery Co., Ltd. from Zhu Peng’er, Li Jianhua, Cheng Aidi, Zhu Qingling and Zhu Shifan for approximately CNY 270 million on July 29, 2016. Ningbo BaoSi Energy Equipment Co., Ltd. signed the asset acquisition through share issuance and cash payment agreement on September 3, 2016 wherein Ningbo BaoSi Energy Equipment Co., Ltd. will pay 85% of the consideration through the issuance of shares and remaining 15% through cash. Ningbo BaoSi Energy Equipment Co., Ltd. will issue 12.1 million shares at CNY 18.95 per share. In a related transaction Ningbo BaoSi Energy Equipment Co., Ltd. plans to raise up to CNY 139.1 million in private placement of shares to fund the acquisition and projects. For the year ended December 31, 2015, Ningbo Newstar Precision Machinery Co., Ltd. reported total assets of CNY 84.31 million, revenue of CNY 55.05 million, net profit of CNY 9.13 million and total equity of CNY 40.10 million. As of January 18, 2017, the transaction was approved by the China Securities Regulatory Commission.
Ningbo BaoSi Energy Equipment Co., Ltd. is a China-based company principally engaged in the research and development, manufacture and sales of compressor products, cutting tool products, precision transmission parts and pump products. Its compressor products mainly include screw host machines and screw compressor whole machines. Its cutting tool products mainly include standard cutting tools, non-standard cutting tools and grinding services. Its precision transmission parts mainly include worm shaft, screw shaft and ordinary motor shaft. Its products are widely used in petroleum extraction, oil refining, coal mine and biomass fuel gas extraction and recovery.
Ningbo BaoSi Energy Equipment Co., Ltd. agreed to acquire Ningbo Newstar Precision Machinery Co., Ltd. from from Zhu Peng’er, Li Jianhua, Cheng Aidi, Zhu Qingling and Zhu Shifan for approximately CNY 270 million.