PYI Corporation Ltd<0498>, a Hong Kong-listed bulk cargo and infrastructure group, announced on Monday that it has agreed to dispose an aggregate of 15% interest in Yangkou Port, Jiangsu Province, for HK$341 million.
Under the terms of the agreement, Nantong SOA and Ritai will acquire 10% and 5% stake in the port for HK$227 million and HK$114 million respectively. Yangkou Port will become a 60% owned subsidiary of PYI upon the completion of the disposal.
The deal will broaden the shareholder base of Yangkou Port, which is significant to the Jiangsu Coastal Region Development Plan approved by the State Council in June. "We welcome Nantong SOA and Ritai on Board. Their participation will take the development of Yangkou Port to new height," said Joseph Chow, chairman of PYI.
The disposal will not have any material effect on PYI's profit or loss before tax, said the company.
Under the terms of the agreement, Nantong SOA and Ritai will acquire 10% and 5% stake in the port for HK$227 million and HK$114 million respectively. Yangkou Port will become a 60% owned subsidiary of PYI upon the completion of the disposal.
The deal will broaden the shareholder base of Yangkou Port, which is significant to the Jiangsu Coastal Region Development Plan approved by the State Council in June. "We welcome Nantong SOA and Ritai on Board. Their participation will take the development of Yangkou Port to new height," said Joseph Chow, chairman of PYI.
The disposal will not have any material effect on PYI's profit or loss before tax, said the company.