Nanjing, Jiangsu – System house Hongbaoli may halt its acquisition of TPU film maker Xionglin New Material Technology, according to a statement in March.
Previously in November 2016 as UTECH-polyurethane.com reported at the time, Hongbaoli bought a 12% stake in Xionglin at CNY 87m ($12.6m) from its chairman and controlling shareholder He Jianxiong with a 67.1% ownership.
In March He informed Hongbaoli about his decision to terminate the initial agreement in December on the buyout of the remaining 88% stake at CNY 640m.
No specific reason has been disclosed. Hongbaoli will negotiate with He to determine whether to continue the transaction.
Hongbaoli said it will “take according measures based on the negotiation.”
Exchange Rates: Xe.com 9 March 2017