Angang Steel Company Limited and Pangang Group Steel Vanadium & Titanium Co., Ltd., which are both listed companies, announced simultaneously on Tuesday evening that the restructuring of Anshan Iron & Steel Group Complex and Pangang Group Company Limited had been approved by the State-owned Assets Supervision and Administration Commission of the State Council (SASAC).
Share trading of Angang Steel Company Limited both at Hong Kong Stock Exchange and Shenzhen Stock Exchange were suspended Tuesday, while Pangang Group Steel Vanadium & Titanium Co., Ltd. also suspended the share trading of PGVT. A PGVT announcement said that the company received the Notice on the Restructuring of Anshan Iron & Steel Group Complex and Pangang Group Company Limited issued by SASAC last Friday, which stated that SASAC had agreed to the joint restructuring of the two steel giants.
The joint restructuring entails the establishment of a new company, Angang Group Company as the mother company of Anshan Iron & Steel Group Complex and Pangang Group Company Limited, which will in turn become the wholly-owned subsidiaries of the new company.
Currently, Anshan Iron & Steel Group Complex and Pangang Group Company Limited lead the iron and steel sectors respectively in northeast and southeast China. The former also plans to consolidate with Benxi Steel Company Ltd., finally enabling an annual steel production capacity of 56 million tons, No. 1 in the whole country.
