steel grating English versionEnglish 钢格板 中文版链接中文版 steel gratings
News

China baowu incorporated masteel shares to accelerate industrial restructuring of overcapacity


Release:2019-06-03   Edit:Admin   From:Rising steel grating

 After the transfer, the proportion of shares held by sasac in masteel group will be reduced from 100% to 49%. Baowu will indirectly control 45.54% of the shares of the company through masteel group, and realize the control of the company. The actual controller of the company will be changed from sasac of anhui province to sasac of the state council.The company's direct controlling shareholder remains unchanged, is still maanshan steel group.

 

We will accelerate restructuring of industries with excess capacity

 

It is understood that unless an exemption is granted, the transfer will trigger China baowu's tender obligation for the company.This transfer still needs to go through the necessary examination and approval procedures, which involves the exemption of China securities regulatory commission and Hong Kong securities regulatory commission from China baowu's tender offer obligations, and there are still uncertainties about whether the relevant approval or exemption can be obtained or whether the transfer can be smoothly implemented.

 

As of the date of the announcement, China baowu has applied to the executive officer of the SFC for exemption from its tender offer obligation, which will be referred to the SFC's takeover and merger committee for adjudication.

 

Masteel said the waiver may or may not be granted.Such exemption is not granted and China baowu will examine whether and how best to proceed in such circumstances.

 

Announcement, said the acquisition is the implementation of the CPC central committee and state council on promoting the healthy development of the iron and steel industry in our country, further promote the structural adjustment of state-owned economy, to carry out the supply side structural reform, speed up mergers and reorganization of the important measures in industries with excess capacity, meet the national strategy of "the Yangtze river economic belt", strengthen the objective requirement of the coordinated development of regional economy, is to cultivate internationally competitive world-class enterprise group's key measures.

 

Bao wu and masteel group restructuring in China, on the one hand will promote masteel great-leap-forward development, strengthen state-owned economy in anhui province, promote the development of the iron and steel and related industry gathered, boost the transformation and upgrading of industrial structure in anhui province, to achieve a higher quality development, on the other hand will push China bao wu as "leader of the global steel industry" of broad vision, further build world-class technology innovation, the steel industry investment and capital operation platform.

 

First-quarter performance under pressure

 

Maanshan iron & steel group co., LTD., formerly under the jurisdiction of anhui provincial party committee and provincial sasac, is an extremely large steel joint enterprise and an important steel production base in China.

 

According to the official website of masteel group, masteel is an extremely large iron and steel joint enterprise in China, and A+ h-share listed company. It covers an area of 13.5 square kilometers, has 43,000 employees, and 20 million tons of steel supporting production scale.In 2017, masteel produced 19.71 million tons of crude steel with total assets of 91.8 billion yuan, operating revenue of 79.6 billion yuan and total profit of 5.61 billion yuan.

 

Maanshan iron and steel corporation was founded in 1953.1958 ma 'anshan iron and steel company was founded;In 1993, the company was successfully reformed into a joint-stock system and divided into masteel corporation and maanshan iron and steel co., LTD.In 1998, masteel corporation was restructured into masteel (group) holding co., LTD.In the development process of more than 50 years, masteel has made important contributions to the development of China's iron and steel industry.In 1998, the first H beam production line was built in China, which filled the blank of large H beam products in China.

 

Masteel released its first-quarter results report in April.Masteel's first quarter revenue was 17.717 billion yuan, down 3.23% year-on-year;Net profit was 83,745,900 yuan, down 94.09% year-on-year.

 

Masteel shares in the report, the steel industry situation is grim, downward obvious.From January to march, the steel price, affected by the growth of steel production and the change of steel quantity used in some steel industries, fluctuated slightly after a sharp decline in November last year, and the upward speed was slow. The average domestic steel price index was 108.14 points, down 4.75% year-on-year.

 

Meanwhile, the iron ore price rose sharply due to the Vale dam break in Brazil. In the first three months of January, the iron ore price index in China averaged 290.02 points, up 11.93% year on year.Maanshan iron and steel co., ltd. believes that the profit space of steel enterprises has been seriously squeezed, the company's operating performance fell sharply year-on-year.