BEIJING, Nov. 16 (Xinhua) -- China's Changchun Yidong Clutch Co., Ltd. (600148.SH) will acquire 100 percent of the shares of two auto parts manufacturers, Dahua Machine Manufacturing Co., Ltd. and Shandong Pengxiang Automobile Co. Ltd., announced the company on Thursday.
The announcement showed that the purchase price is 928 million yuan (about 134 million U.S. dollars), with 115 million yuan in cash and 813 million yuan in shares.
Upon completion of the transaction, the two acquired companies will become wholly-owned subsidiaries of Changchun Yidong Clutch Co. Ltd.
According to the announcement, for the first half of 2018, Dahua Machine Manufacturing Co., Ltd.'s operation revenue was 511 million yuan, and its net profit was 29.72 million yuan, while Shandong Pengxiang Automobile Co. Ltd.'s operation revenue was 1.43 billion yuan, and its net profit was 204.69 million yuan.
Changchun Yidong Clutch Co. Ltd. said that the acquisition will further help the company expand its industrial chain, enhance its capability to go global, and improve its competitiveness in the automotive parts market. (Edited by Li Wenxin, Yang Qi, liwenxin@xinhua.org)
A single purchase
