Sinochem International plans to acquire over 60% equity in rubber chemical manufacturers for 2.8 billion yuan

On the evening of June 13th, Sinochem International (600500. SH) announced that its wholly-owned subsidiary, Sinochem International (Singapore) Co., Ltd., plans to invest no more than 2.82 billion yuan to acquire 60.976% of the equity of Jiangsu Shengao Chemical Technology Co., Ltd.

The announcement shows that Sinochem International (Singapore) will acquire 100% equity of Hong Kong Carlyle Shengao Industrial Co., Ltd. (the latter holds 40% equity of Jiangsu Shengao Chemical Technology Co., Ltd.), as well as directly acquire 20.976% equity of Jiangsu Shengao, holding a total of 60.976% equity of Jiangsu Shengao.

Jiangsu Shengao has a registered capital of 585 million yuan and is engaged in sales and technical consulting services for rubber additives and chemical synthetic drugs; Sales of chemical raw materials and products (excluding dangerous goods), chemical equipment and accessories, import and export of goods and technology.

As of 2011, Jiangsu Shengao had total assets of 2.405 billion yuan and net assets of 1.329 billion yuan. In 2011, it achieved revenue of 2.333 billion yuan and net profit of 437 million yuan.

According to the company, Jiangsu Sheng'ao Chemical Technology Co., Ltd. is the world's largest manufacturer of rubber chemicals 6PPD [N - (1,3-dimethylbutyl) - N '- phenyl P-Phenylenediamine]. Its products have efficient synergy value with the company's natural rubber, synthetic rubber, fine chemicals and other businesses. This merger will open up broad development space for the company's future expansion in the rubber chemicals industry.

Sinochem International closed at 7.11 yuan on the 13th, up 3.64%.