Yangzijiang leads consortium to acquire 23% stake in Ningbo Shanshan for restructuring

About 223.3m shares bought at $2.07.

Yangzijiang Financial announced that its subsidiary, Jiangsu New Yangzi Commerce & Trading Co., Ltd, together with Xiamen TCL Industrial Investment Co., Ltd and China Orient Asset Management Co., Ltd (collectively, the Consortium), has signed an agreement to acquire a 23.36% effective voting stake in Ningbo Shanshan Co. Ltd. to lead the company’s restructuring.

In Phase 1, the Consortium set up an investment platform to buy 223.3 million Shanshan Co. shares (9.93% of total) from Shanshan Group Ltd and its subsidiary at $2.07 (RMB 11.44) per share).

Yangzijiang Financial will contribute $184.5m (RMB 1.02b) for a 40% stake in the platform. Xiamen TCL will acquire an additional 43.7 million shares (1.94%), with voting rights entrusted to the platform.

In Phase 2, a limited partnership with China Orient Asset Management will acquire 20 million shares (0.89%), with voting rights also entrusted to the platform. Voting rights of remaining shares held by the Sellers will similarly be entrusted.

Once complete, the Consortium will control 23.36% of Shanshan Co., with Yangzijiang Financial exercising voting rights as platform General Partner.

The investment represents 4.79% of Yangzijiang Financial’s net assets and 4.51% of its market capitalisation.

Completion is subject to creditors’ and court approval, and funding obligations must be met.

Founded in 1992, Shanshan Co. produces lithium battery anode materials and polarizers, serving the new energy, battery, and EV sectors.

The Consortium expects the investment to stabilise Shanshan Co.’s ownership, support long-term growth, and leverage operational expertise and industry networks.