Xingang will be merged into China Baowu Group-Boiler Tubes,Heat-Exchanger Tubes,Superheater Tubes,Supplier,Beite

Xingang will be merged into China Baowu Group

Xingang will be merged into China Baowu Group

Xingang will be merged into China Baowu Group with a target of 200 million tons of steel production capacity.

On April 24, Xinyu Iron and Steel Co., Ltd. (hereinafter referred to as "Xingang Group", 600782) announced that on April 23, it held 100% equity of the company's controlling shareholder, Xinyu Iron and Steel Group Co., Ltd. (hereinafter referred to as "Xingang Group"). Jiangxi State-owned Capital Operation Holding Group Co., Ltd. (hereinafter referred to as "Jiangxi State Control"), signed the "Jiangxi State-owned Capital Operation Holding Group Co., Ltd. and China Baowu Iron and Steel Group Co., Ltd. on Xinyu Iron and Steel Group Co., Ltd. Agreement on Free Transfer of State-owned Equity of the Company. According to the agreement, Jiangxi State Holdings will transfer its 51% stake in Xingang Group to China Baowu for free.

After the transfer is completed, China Baowu will indirectly control 44.81% of Xingang shares through Xingang Group, and realize control of the company. The actual controller of the company will be changed from Jiangxi SASAC to SASAC of the State Council. The company's direct controlling shareholder remains unchanged, still Xingang Group.

The announcement stated that the transfer still needs to go through the necessary approval procedures such as the review of the state-owned assets regulatory agency.

New Steel Group

Xingang Group is located in Xinyu City, Jiangxi Province. It is a provincial large-scale state-owned iron and steel complex with a production capacity of 10 million tons and an industrial backbone enterprise in Jiangxi Province. There is 1 subordinate listed company (Xingang Co., Ltd.), 1 subordinate listed company (Xingang Co., Ltd.), and 113 directly affiliated and participating holding companies. In 2020, the annual output of steel will be 9.88 million tons, and the revenue will be 79.5 billion yuan.

China Baowu was reorganized from the former Baosteel Group Co., Ltd. and Wuhan Iron and Steel (Group) Company. The "steel aircraft carrier" was unveiled on December 1, 2016. It is a pilot enterprise of a state-owned capital investment company. In 2020, the output of China's Baowu Steel will reach 115 million tons, achieving a historic leap of "100 million tons of Baowu" and becoming the top steel company in the world. In the Fortune Global 500 list released in 2021, China Baowu ranks among the top 100 for the first time, ranking 72nd, continuing to rank first among global steel companies.

It is worth mentioning that, following the "Merger of Baowu", China Baowu has successively reorganized Maanshan Iron and Steel Group and Taiyuan Iron and Steel Group, actually controlling Chongqing Iron and Steel, and at the same time hosting Sinosteel Group, integrating Xinjiang steel enterprises, and joining hands with Guangdong Province Formed China Baowu Zhongnan Iron and Steel, and took over Kunming Iron and Steel. In July 2021, China Baowu announced that it intends to strategically reorganize Shandong State-owned Shandong Iron and Steel Group.

Just recently, China Baowu issued a document "Insist on "steel in command", implement "three highs and two modernizations", and realize the transformation from "boss" to "strong" as soon as possible. The goal is to be a manufacturing service provider covering the entire industry of special steel and stainless steel and a leader in low-carbon development, highlighting green, high-quality products and wisdom. By the end of this round of planning, the green steel manufacturing system has initially taken shape, and the green and smart steel industry chain has strong competitiveness. It strives to build Baowu into the world's most competitive steel material solution service provider, with a crude steel production capacity of over 200 million tons. , forming a number of steel varieties with high market share and control over the market, the main overseas steel layout areas have formed a competitive scale, and the steel platform subsidiaries have become leading enterprises with 100 billion revenue and 10 billion profit, leading the development of the steel industry , to contribute steel strength to the great rejuvenation of the Chinese nation.

Review China Baowu Group's expansion path:

In December 2016, Baosteel Group and Wuhan Iron and Steel Group merged to form China Baowu Group;

In June 2019, China Baowu reorganized Maanshan Iron and Steel Group;

In August 2020, China Baowu reorganized TISCO Group;

On September 16, 2020, China Baowu became the actual controller of Chongqing Iron and Steel;

In October 2020, China Baowu Trusted Sinosteel;

In February 2021, China Baowu Trusted Kunming Steel;

China Baowu's crude steel output in 2020 has reached 115 million tons. In the future, if China Baowu successfully reorganizes state-owned enterprises such as Shandong Iron and Steel Group, Xingang Group, and Baotou Steel Group, the production capacity will exceed 200 million tons.