Fullshare Holdings’ successful acquisition of China High Speed Transmission Equipment Group allows it to springboard into markets for environmental equipment and renewable energy
2016 Dec 04
(5, December 2016) Fullshare Holdings Limited(“Fullshare Holdings” or the “Company”, which together with its subsidiaries, is referred to as the “Group”; SEHK stock code: 607) announces that it has successfully acquired China High Speed Transmission Equipment Group Co., Ltd. (“China High Speed Transmission”; SEHK stock code: 658). The deal will allow Fullshare Holdings to enter the markets for environmental equipment and renewable energy.
As at 5 December 2016, the final closing date for the valid acceptances of the offer, over 70% of China High Speed Transmissions’ shareholders accepted the share exchange offer by the wholly-owned subsidiary of the Company’s offer in relation to the acquisition all of the issued shares of China High Speed Transmission, in which the valid acceptances received under the Offer. Together with the Offeree Shares already held by the Offeror, Fullshare and parties acting in concert with them, comprise approximately 79.86% of the voting rights of the Offeree Company.
Mr. Ji Changqun, Executive Director, Chairman and Co-CEO of Fullshare Holdings said, “The successful acquisition of China High Speed Transmission is an important milestone in the development of our company’s grand healthcare services. It also marks our company’s first foray into the markets for environmental equipment and renewable energy. China High Speed Transmission has been developing its business steadily, and we are confident in its existing management team’s competence. We believe that China High Speed Transmission’s strengths and Fullshare Holding’s advantages and capability to integrate businesses will combine to ensure long-term stable development of the former.”
Presently, China is actively changing its energy structure by fostering sustainable renewable energy and promoting green energy. Based on a guideline issued by the National Energy Administration (NEA) on 3 March 2016, the country has set targets of consumption of non-hydroelectric renewable energy for provincial and municipal governments. By 2020, non-hydroelectric renewable energy will have to supply between 5% and 13% of the total electricity needs in provinces, municipalities and autonomous regions while power companies, with the exception of some non-fossil energy companies, will have to generate non-hydroelectric renewable energy that accounts for at least 9% of the total output of their electricity generation. The Chinese government’s such favourable policies will allow Fullshare Holdings to tap the environmental equipment and renewable energy industries’ potential for sustainable growth.
After years of development, China High Speed Transmission has become a leading supplier of wind power transmission equipment in China. The acquired company will serve as a springboard for Fullshare Holdings’ first foray into the markets for environmental equipment and renewable energy, thus consolidating Fullshare Holdings’ business presence in the healthy living industry.
Fullshare Holdings’ successful acquisition of China High Speed Transmission Equipment Group allows it to springboard into markets for environmental equipment and new energy
5 December 2016
According to the proposed transaction, Fullshare Holdings proposed exchanging every five of its new shares for every two shares of China High Speed Transmission. Fullshare holdings will allow China High Speed Transmission to retain its listing so that the latter’s shares can still be traded on Hong Kong’s stock exchange.