Finance Associated Press, December 5, Fosun International (00656HK) announced on the Hong Kong Stock Exchange that all conditions precedent to the new ** matter have been met and the closing will be completed on December 4, 2023. After the closing, the Group no longer holds any equity interest in Nanjing Nangang, so Nanjing Nanjing Iron and Steel is no longer a joint venture of the Company.
On the same day, the official website of Nanjing Iron and Steel Co., Ltd. also issued a table update, some of which are as follows:
On December 5, 2023, the company received the "Notification Letter on the Completion of the Industrial and Commercial Change Registration of Xinyegang's Capital Increase to Holding Nanjing Iron and Steel Group and Nanjing Iron and Steel Group's Agreement to Transfer 60% Equity of Nanjing Iron and Steel Union" issued by Hubei Xinyegang *** hereinafter referred to as "Xinyegang") and Nanjing Iron and Steel Group *** hereinafter referred to as "Nanjing Iron and Steel Group"), the indirect controlling shareholder of the company was changed from Fosun Hi-Tech to Nanjing Iron and Steel Group, and the actual controller of the company was changed from Mr. Guo Guangchang to CITIC Group *** hereinafter referred to as "CITIC Group" The content is as follows: On December 4, 2023, Xinyegang completed the registration procedures for capital increase and industrial and commercial change of Nanjing Iron and Steel Group, and held 552482% of the shares, becoming the controlling shareholder of Nanjing Iron and Steel Group. On the same day, Nanjing Iron and Steel Group completed the agreement to transfer 60% of the equity of Nanjing Ganglian and the registration procedures for industrial and commercial change, holding 100% of the equity of Nanjing Ganglian, and Cheng 2 became a wholly-owned shareholder of Nanjing Ganglian. Nanjing Iron and Steel Group indirectly holds 5910% stake. The indirect controlling shareholder of the Company was changed from Fosun Hi-Tech to Nanjing Iron and Steel Group, and the actual controller of the Company was changed from Mr. Guo Guangchang to CITIC Group.
In 2022, the output value of Nanjing Iron and Steel last year was about 70 billion, and the market value was about 22 billion by the date of publication. From January to June 2023, the composition of Nanjing Iron and Steel Co., Ltd.'s operating income is: steel manufacturing and sales accounted for 6649%, and other products and services accounted for 3351%。
Fosun's sale of Nangang is, of course, a well-known reason: it is not profitable, and it is not surprising that Fosun cut the shares of Nangang, as early as 2022, Fosun intends to transfer 60% of the equity to Shagang for no more than 16 billion **. Judging from the operating situation disclosed by Nanjing Iron and Steel in the third quarter of this year, January 2023,The company achieved an operating income of 5636.5 billion yuan, a year-on-year increase of 707%；Net profit attributable to shareholders of the listed company 166.5 billion yuan, down 1983%。The company's steel output is 776660,000 tons, sales volume 773740,000 tons, with a combined average sales of 4,72443 yuan tons (excluding tax), down 723%。Among them, the company's special plate comprehensive average sales **5,27262 yuan tons (excluding tax), down 520%；The combined average sales of special steel long products and construction threads** were 4,59207 yuan ton (excluding tax, 423.)93 yuan tons (excluding tax), respectively, year-on-year. 10%。This is not only the dilemma of Nanjing Iron and Steel, but the entire steel industry must face a grim situation in the next few years, Rao so, this year may still be the best year in the next five years.
The protagonist of the acquirer, Hubei Xinyegang***, has also received attention again, and the predecessor Daye Iron and Steel Plant can be traced back to Xinyegang in the Beiyang period, which was renamed Huazhong Iron and Steel Company in 1948 and Daye Steel Plant in 1953. After the restructuring in 1995, Daye Special Steel was listed on the Shenzhen Stock Exchange in 1997. In 2004, CITIC Pacific acquired the main assets of the Metallurgical Steel Group, and the formation of Hubei Xinyegang was also used for a short timeHubei New Oriental Iron and Steel***The name.
ps: Hubei Xinye Steel is wholly owned by Hong Kong Yinglian Steel, and CITIC Pacific is the major shareholder of Yinglian Steel, thereforeCITIC Group is the actual controller of Nanjing Iron and Steel Co., Ltd.