Guangdong Fuhua accelerates strategic transformation 150 million transfer of fiberglass assets to the sky

Yue Fu Wah announced today, the company has been with another listed company to sign the transfer of shares in the sky, the sky to buy Yue Fu wah Zhuhai Fuhua Composite Materials Co., Ltd. (hereinafter called Fu Wah Complex) 51% of the equity. The sky is intended to do strong glass fiber fu Hua material was established in March 2002, the registered capital of 277.76 million yuan, is a wholly-owned subsidiary of Guangdong Fu-wah Zhuhai Power Control Group Co., Ltd. has a 100% stake in subsidiaries.　　Business scope is mainly fiberglass, including the production and sale of textile glass fiber products, reinforced glass fiber products, research and development of alkali-free glass fiber products, operating feed processing and "three" business.　　Fu Wah Complex is China's only printed circuit board with the processing of glass cloth production base, is a provincial-level High-tech enterprises, not only has an annual output of 10,000 tons of modern pool kiln wire drawing production line, but also has an annual output of 100 million meters printed circuit board with processing glass cloth production line. and the main business of the sky is the chemical fertilizer, chemical raw materials and products production, sales. In order to further strengthen the glass fiber business, last December 25, Yun-Fu and Guangdong China signed the signing of Fu Wah complex material expansion of the framework agreement.　　However, after further consultations, two companies decided to change the mode of cooperation from the increase of capital to share transfer, the transfer of the subject also by Yue Fuhua itself, into its wholly-owned subsidiary-Zhuhai Power Control Group Co. According to the latest announcement, the final decision by the skylight to 155.57 million yuan in cash (equity transfer in accordance with the November 30, 2009-fu-wah compound after the evaluation of the net assets based on the calculation), the purchase of Zhuhai Power Control Group Co., Ltd. Holdings of Fu Wah compound of 51% equity, the two sides jointly joint venture Fu Hua　　Yue Fu Wah also further explained that the proceeds of the transfer of shares will be used for the normal business operations. The withdrawal from Fuhua complex has helped to transform for many years, Yue Fu Hua has been in the direction of the main business is not clear, resource diversification, the low efficiency of asset utilization.　　Although after two reorganization, has not solved the fundamental development question, the company profit source mainly relies on shares the electricity project dividend. May 17, Yue Fu Hua's largest shareholder into the Zhuhai Port group. With the approval of the State Council SASAC, the Zhuhai Sasac has transferred its holdings of 56.5682 million shares (16.4%) of the company's total share capital to the Zhuhai Port group for free.　　The change of the first major shareholder is also to promote the strategic transformation of listed companies and do better.　　For the transfer of Fuhua 51% shares of Fu Wah, the independent director of Guangdong, said that with the skylight to carry out strategic cooperation, timely exit Fu Hua, help the company accelerate the implementation of strategic transformation, in line with the company's development plan. On the other hand, Fu Wah Recovery Material 2009 Annual audit total assets of 628 million yuan, net assets of 290 million yuan, operating income of 75 million yuan. The total assets, net asset and operating income of Yue Fu Hua are 1.725 billion yuan, 1.259 billion yuan and 410 million yuan respectively. The proportion of Fu Wah complex in these three indicators is not more than 50%, so this matter does not constitute a significant asset weightGroup。