Ningbo Huaxiang (002048.SZ) plans to jointly acquire Fengmei Power with related parties to promote the collaborative development of products related to new energy components

Zhitong Finance App News, Ningbo Huaxiang (002048.SZ) announced that the board of directors of the company reviewed and passed the “Proposal on Jointly Acquiring 100% of Fengmei Power's Shares and Related Transactions with Related Parties”, agreeing that the company and the actual controller, Ningbo Fengmei Holdings Co., Ltd. (“Fengmei Holdings”) jointly purchased 100% of the shares of Shanghai Fengmei Power Systems Co., Ltd. (“Fengmei Power” for short) owned by SAIC Volkswagen through cash funding, of which Ningbo Huaxiang purchased 40% of the shares of the target company and Fengmei Holdings purchased 60% of the shares in the target company . The total transfer price was $530 million.

According to the announcement, Fengmei Power is a wholly-owned subsidiary of SAIC Volkswagen Co., Ltd. (“SAIC Volkswagen” for short) and is a company specially established to undertake the land, plant, equipment and related business of the engine plant 1 in Jiading District, Shanghai, which SAIC Volkswagen plans to sell.

By acquiring 40% of Fengmei Power's shares held by SAIC Volkswagen, it is conducive to promoting the transformation and upgrading of Ningbo Huaxiang in the field of new energy power batteries and smart chassis, and to promote the collaborative development of the company's new energy components-related products.