CSIC Taking Stake in Two Subsidiaries

CSIC China Shipbuilding Industry Corporation (CSIC) is buying stakes in two of its subsidiaries, namely Dalian Shipbuilding Industry Co (DSIC) and Wuchang Shipbuilding Industry Corp (WSIC). As disclosed in a regulatory filing today, the Shanghai-listed shipbuilder will take 49.99 % equity stake in DSIC and 36.15 % stake in WSIC. In order to be able to execute the purchase from state-owned enterprises, CSIC said it would be issuing shares. The move is being pursued as part of the companys restructuring efforts. Just last week CSIC, which suspended trading of its stock back in May due to a “major asset restructuring”, said it was scheduled to sign an agreement with an unnamed party on the company’s reorganization on September 15. Further details on the reorganization are yet to be revealed. As the major asset restructuring plan is yet prone to “large uncertainties”, the company said it would resume trading suspension until further notice. World Maritime News Staff