Fujian Shipbuilding Industry Group (FSIG), a state-owned shipbuilding group based in Fujian, China, said it is in talks with China’s State Development & Investment Corporation (SDIC) to include the latter as an investor.
FSIG and SDIC had preliminarily exchanged opinions about SDIC investing in Fujian Chuanzheng Heavy Industry (FCHI), which was created by FSIG to become a listed vehicle for three of its subsidiaries, FSIG said in a statement on 18 August.
FCHI, set up in 2014 with a registered capital of CNY200 million (USD32 million), controls the three subsidiaries, namely Fujian Mawei Shipbuilding, Fujian Southeast Shipbuilding, and Fujian Minchuan Marine Ship Industry Development.
Related news:FSIG to take three subsidiaries public
SDIC said it would strongly support the development of FSIG’s high-tech vessels, cruise ships and offshore equipment. It also expressed interest in FSIG’s offshore renewables business.
Fujian Mawei Shipbuilding’s profit for the first nine months of 2014 totalled CNY154 million, while its revenue for the same period was CNY2.5 billion.
Fujian Southeast Shipbuilding’s profit and revenue for the first nine months of 2014 totalled CNY92 million and CNY2.2 billion, respectively.