July 5, 2012 [Chinese Stock Information] - Dalian Port (PDA) Company has agreed to acquire from its controlling shareholder, Dalian Port Corporation Limited, 45% equity interests in Dalian Changxing Island Port Investment and Development Co., Ltd. (Changxing Island Company) at RMB313.148 million in cash.
Before the deal, Changxing Island Company is owned as to 50% by each of Dalian Port Corporation Limited and Changxing Island Industrial Zone Administration Committee (CIIZ Administration Committee). Changxing Island Company was established for the development of public port faculties in the Changxing Island Industrial Zone, a national level economic and technological development zone recognized by the State Council of the PRC and located at the entrance to Bohai Bay.
Changxing Island Company has been investing in development of crude oil terminal and oil storage tanks and other port facilities in the industrial zone near Dalian Port (PDA) Company’s current port facilities and certain projects, including a berth with a designed berthing capacity of 300,000 dwt and oil storage tanks with a designed storage capacity of 1.2 million cubic metres which have become operational in 2012.
Dalian Port (PDA) Company’s directors are of the view that the acquisition will facilitate the group to position itself and control the public port resources in the Changxing Island region and provide ample space for further development of the company’s oil and chemical terminal business and logistics business.
