Lianchu Securities Co., Ltd. announced that it expects to receive funding from Jiangsu Huaxicun Co., Ltd.
March 25, 2017
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Lianchu Securities Co., Ltd. announced that it has entered into a capital increase subscription agreement for an equity funding on March 26, 2017. The transaction will include participation from new investor, Jiangsu Huaxicun Co., Ltd. (SZSE:000936) and other investors. As part of the transaction, Jiangsu Huaxicun Co., Ltd. (SZSE:000936) will invest CNY 1,254,000,000 to acquire 14.85% stake in the company, adding CNY 380,000,000 to the registered capital and CNY 874,000,000 to capital reserve; other investors will add CNY 820,000,000 to the registered capital. The shares carry a par value of CNY 1 each and will be issued at a premium of CNY 3.3. Post transaction, the registered capital of the company will increase from CNY 1,359,400,000 to CNY 2,559,400,000. The transaction was approved at the 30th session of the 6th directorate meeting of Jiangsu Huaxicun Co., Ltd. (SZSE:000936) and does not require the approval of its shareholders’ meeting. The company reported total assets of CNY 6,465,618,500, total liabilities of CNY 4,856,921,600, net assets of CNY 1,608,696,900, operating revenues of CNY 485,047,900, operating profit of CNY 143,352,700 and net profit of CNY 155,413,600 for the year ended December 31, 2016.
JIANGSU HUAXICUN CO.,LTD. is a China-based company principally engaged in the research, development, production and sale of textile chemical fiber products. The Company operates through three business segments. Polyester Fiber segment mainly provides polyester staple fibers. Petrochemical Warehousing and Logistics segment mainly provides terminal loading and unloading, warehousing, barging transit and pipeline transportation services for liquid chemicals. Investment segment is mainly involved in merger and acquisition investment, venture capital, asset management and strategic investment. The Company operates its business in domestic market.