Jinpu titanium's major shareholder of RMB 131 million plans to acquire all shares of Jiangsu Taibai

Recently, the controlling shareholder, Jinpu group, plans to acquire 100% equity of Jiangsu Taibai held by Zhenjiang state control Jiangsu Taibai, which also produces and sells titanium dioxide, will compete with Jinpu titanium industry Therefore, Jinpu group promises to inject Jiangsu Taibai into Jinpu titanium industry within 36 months from the date of acquiring the equity of Jiangsu Taibai In recent years, with the steady growth of foreign demand, titanium dioxide industry continues to improve In 2019, China's titanium dioxide exports totaled 1.035 million tons, a year-on-year increase of 10.52%, a new record over the years According to the analysis, China's titanium dioxide export volume will continue to increase gradually The leading enterprises will continue to increase their market share with the production capacity of sulfuric acid process which is relatively backward in some units and does not have the conditions for transformation withdrawn from the market With the increase of market concentration of titanium dioxide in China, the overall profit center of the industry is expected to improve in the long term The majority shareholder plans to acquire Jiangsu Taibai Jinpu Titanium Co., Ltd announced on March 20 that the controlling shareholder Jinpu group plans to acquire 100% of the equity of Jiangsu Taibai held by Zhenjiang state control, confirming that the overall valuation of Jiangsu Taibai is RMB 131 million Jiangsu Taibai's main business is titanium dioxide production and sales, and the company will form horizontal competition Jinpu group promised to promote the acquisition of Jiangsu Taibai's equity by the company within 36 months from the date of acquisition of 100% of Jiangsu Taibai's equity Jinpu group also promised to promote the entrustment of specific production and operation of Jiangsu Taibai to Jinpu titanium industry management From the date of trusteeship to the time when Jiangsu Taibai is injected into the listed company, it will fully respect the trusteeship rights of Jinpu titanium industry, and will not make use of its controlling shareholder status to reach transactions and arrangements that are not conducive to the interests of Jinpu titanium industry or other minority shareholders Jiangsu Taibai is one of the major titanium dioxide manufacturers in China, with an annual production capacity of 70000 tons of titanium dioxide Its main business is the production and sales of rutile titanium dioxide and anatase titanium dioxide At present, the high-grade rutile titanium dioxide accounts for about 90% At the same time, Jiangsu Taibai can also produce some raw materials and energy needed for titanium dioxide production, such as sulfuric acid and steam In 2019, Jiangsu Taibai has a total assets of 568 million yuan, a revenue of 730 million yuan and a loss of 28.03 million yuan It is worth noting that in May last year, Jinpu Titanium Co., Ltd planned to purchase new materials of ancient channel because of the inquiry letter from the exchange on the issue of horizontal competition Finally, the CSRC will not approve the restructuring application of Jinpu titanium industry based on the audit opinion of "the underlying asset accounting foundation is weak, lacks independence, the sustainable profitability is uncertain, and does not meet the relevant provisions" Jinpu titanium said that Jinpu group promised to take other ways, such as market-oriented sales to other parties, to solve the problem of horizontal competition within 36 months if the acquisition did not pass the review of regulatory authorities or Jiangsu Taibai failed to meet the specification requirements of the injection company.