21 January 2019

Xiangeqing unit to buy out biomass energy venture, filing says

Caterer Beijing Xiangeqing Co. Ltd. (002306.CN) said in a regulatory filing Monday that its wholly-owned subsidiary Hefei Xiangeqing Co. Ltd. will buy a 49 percent stake in Hefei Tien Yan Biomass Energy Technology Co. Ltd., a joint venture between the unit and Hefei Tian Yan Green Energy Development Co. Ltd. Hefei Xiangeqing currently owns a 51 percent stake in the venture and plans to buy the rest from Hefei Tian Yan Green Energy for 353 million yuan (US$58.25 million) on the condition that the venture’s net profits for 2015 and 2016 must not be lower than 60 million and 72 million yuan respectively, the filing said. The agreed price suggested the stake owned by Hefei Tian Yan Green Energy has risen sixfold in value since the venture was set up in December 2013, Shanghai Securities News reported.

– Contact HKEJ [email protected]




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