China Gaoxin Investment Group to sell rare earth stake for $2.94 mln
Beijing. September 21. INTERFAX-CHINA - China Gaoxin Investment Group Corp. plans to sell its 13.05 percent stake in Yantai Shougang Magnetic Materials Inc. (YSM) on the China Beijing Equity Exchange (BEE) for RMB 19.70 million ($2.94 million), according to a Sept. 20 China Securities Journal report.
Founded in 2000 with a registered capital of RMB 100.59 million ($15 million), YSM manufactures rare earth magnets for use in permanent magnet wind turbines, electric power steering (EPS) motors in automobiles, and medical equipment, the report noted.
China Gaoxin Investment Group Corp. is YSM's third-largest shareholder, after Yantai Shougang Dongxing Group Co. Ltd., which holds 39.9 percent, and Yaskawa Electric Co. Ltd., which holds 30 percent.
According to the report, YSM's revenue in 2009 totaled RMB 169.39 million ($25.26 million), of which RMB 6.19 million ($920,000) was net profit.