Chongqing Gangjiu to acquire RMB 1.05 bln in assets

Jul. 22, 2009 (China Knowledge) - Chongqing Gangjiu Co Ltd<600279>, which provides cargo services and passenger transportation, plans to acquire assets in Chongqing that are worth RMB 1.05 billion in total through an asset swap and private placement, sources reported.

The assets the Shanghai-listed firm will purchase include partial stakes in two firms engaged in the wharf business, a 100% stake in a shipping firm and a 100% stake in each of two firms located in Wanzhou District of the city. 

Chongqing Gangjiu will sell a 100% stake in a property subsidiary worth RMB 25 million and will also sell 121 million shares at an average price of RMB 8.44 apiece.

Reportedly, Chongqing Gangjiu's net profit was RMB 603.75 million in the first quarter of this year, a year-on-year decline of 16.47%. Earnings per share were RMB 0.026. As of Mar. 31, 2009, the firm's total assets were RMB 2.96 billion, compared with RMB 2.56 billion in the same period of last year.