- Ning Xia Yin Xing Energy Co., Ltd. (000862.SZ) recently announced plans to acquire a 50% stake in Yinyi Wind Power Co., Ltd. for RMB 165 million, as reported by Cnstock.
- Ning Xia Yin Xing Energy plans to finance the deal by issuing 23.32 million shares.
Why It Matters:
- Prior to the deal, Ning Xia Yin Xing Energy held a 50% stake in Yinyi Wind Power so after the deal, Yinyi Wind Power will become a wholly-owned subsidiary of Ning Xia Yin Xing Energy.
- Yinyi Wind Power is mainly engaged in the development, construction, and operation of wind power generation projects. Currently, Yinyi Wind Power has four wind power generation projects with a total capacity of 198,000 kWh. The company posted a net profit of RMB 10.175 million for 2016.
- Ning Xia Yin Xing Energy is principally engaged in the manufacture and distribution of wind power equipment and photovoltaic equipment. The company believes that the acquisition of Yinyi Wind Power will help it expand further.