Yinglite receives acquisition offer of RMB25.89 per share from Tianyuan Manganese
Ningxia Yinglite Chemical Co., Ltd. announced on Feb 22 that Tianyuan Manganese intends to acquire 51.25% of equity of the company, which triggers the full obligation to deal with the takeover bidding. The company resumes share trading from Feb 23.
According to the announcement, Yinglite Group, the controlling shareholder of Ningxia Yinglite Chemical signed conditional share transfer agreement with Ningxia Tianyuan Manganese. Tianyuan Manganese will acquire 155 million of shares from Yinglite Group, accounting for 51.25% of the total equity. After the transfer, Tianyuan Manganese will become the controlling shareholder of the company, resulting in full obligation in takeover bidding as Tianyuan Manganese will hold more than 30% of the equity.
The acquisition will not aim to terminate the listing of Yinglite and the bidding will last for 30 days at the price of RMB25.89 per share. The price was RMB30.17 per share before the company suspended trading. This acquisition will include trading of 148 million of shares, accounting for 48.75% of total equity. The highest capital needed in this acquisition will be 382.6 million. The company disclosed that Tianyuan Manganese has accumulated total asset for RMB52.244 billion till October 2016 with net asset of RM15.282 billion, operating revenue of RMB48.262 billion in current period and net profit of RMB1.964 billion.
After the transfer, the central enterprise Yinglite will withdraw from the state-owned system and be taken over by the private enterprise Tianyuan Manganese. According to the official website of Tianyuan Manganese, the company is the largest producer of electrolytic manganese with total asset of RMB45.9 billion.
