Huahong Technology to acquire Xintai Technology for developing rare earth scrap utilization
2019-07-05 17:04:06 [Print]
According to the restructuring plan, Huahong Technology will acquire Xintai Technology, a NEEQ company, to develop business in rare earth scrap comprehensive utilization field.
The plan shows that Huahong Technology plans to acquire 100% equities of Ji'an Xintai Technology Co., Ltd. held by Liu Weihua and other 19 natural persons at a unit price of RMB7.7 (USD1.12) by issuing stocks and paying in cash. The transaction price will be RMB780-840 million (USD113-122 million). Meantime, the company will do supporting financing by issuing non-public stocks to no more than ten specific investors.
Xintai Technology mainly engages in comprehensive utilization of rare earth scrap and produces rare earth permanent magnets by its wholly-owned subsidiary Zhonghang New Material. Presently, Xintai Technology drives development of rare earth metals and permanent magnets by comprehensive utilization of rare earth resources and extents its business to rare earth functional materials, forming a rare earth industry chain internal circular economy system characterized by comprehensive utilization of rare earth resources.
In terms of production capacity, Xintai Technology owns the production qualification of 5,000 tons of NdFeB scrap and 1,000 tons of phosphor powder scrap and its wholly-owned subsidiary Jincheng New Material owns the production qualification of 4,800 tons of NdFeB scrap, with two modern rare earth scrap comprehensive utilization plants located in Ji'an county and Jishui county of Ji'an.
The plan shows that Huahong Technology plans to acquire 100% equities of Ji'an Xintai Technology Co., Ltd. held by Liu Weihua and other 19 natural persons at a unit price of RMB7.7 (USD1.12) by issuing stocks and paying in cash. The transaction price will be RMB780-840 million (USD113-122 million). Meantime, the company will do supporting financing by issuing non-public stocks to no more than ten specific investors.
Xintai Technology mainly engages in comprehensive utilization of rare earth scrap and produces rare earth permanent magnets by its wholly-owned subsidiary Zhonghang New Material. Presently, Xintai Technology drives development of rare earth metals and permanent magnets by comprehensive utilization of rare earth resources and extents its business to rare earth functional materials, forming a rare earth industry chain internal circular economy system characterized by comprehensive utilization of rare earth resources.
In terms of production capacity, Xintai Technology owns the production qualification of 5,000 tons of NdFeB scrap and 1,000 tons of phosphor powder scrap and its wholly-owned subsidiary Jincheng New Material owns the production qualification of 4,800 tons of NdFeB scrap, with two modern rare earth scrap comprehensive utilization plants located in Ji'an county and Jishui county of Ji'an.
