HONG KONG, Dec 6 – Jinchuan Group International Resources Co. Ltd entered into a Strategic Framework Agreement with Junhe Holdings Limited, in which Junhe Holdings will make equity investment in the Company by either subscribing for new shares of the Company or by acquiring existing shares of the Company, and establish several Joint Ventures in Shanghai with Junhe Holdings for different businesses, including a trading joint venture for trading commodities including non-ferrous metals, precious metals and chemical raw materials, a factoring joint venture and a financial leasing joint venture.
Junhe Holdings is a 84.14% subsidiary held by Shanghai Junhe Group Co., Ltd (“Junhe Group”), which is an integrated conglomerate established in Shanghai and a one of the well-known private enterprises in the mainland of China which engages in various segments of business as supported by Shanghai’s robust investment environment and capital flow, including:
(i) the global trading of non-ferrous metals, precious metals, energy products (such as petrochemicals, wood pulp, coal, mineral resources and other international and domestic trades);
(ii) industry investment (such as manufacturing and sales of aviation equipment and heavy machinery);
(iii) financial services (such as financial leasing, factoring, fund management, internet finance and supply chain finance). Junhe Group ranked 39th amongst the top 500 private enterprises in the PRC and 23rd amongst top 100 enterprises in Shanghai this year. It also received the title of “Enterprise of Contractual Performance and Creditworthiness” from the State Administration for Industry and Commerce of the PRC on numerous occasions and ranked 2nd amongst the top 100 private enterprises in Shanghai.
Mr. Chen Dexin, Executive Director and CEO of Jinchuan International said, “The cooperation with Junhe Holdings will leverage competitive advantages of both parties, realizing organic integration of brands, channels, resources, capital and talents and achieving strategic and synergetic effect as a whole.
The move today signifies two companies cooperating to build for future. It also actualizes the Jinchuan culture of “honesty” and “win-win”, alliance of two strong forces and mutual beneficial rationales. It even lays a strong foundation for healthy growth with stability and sustainability.”