HomeChina Stock News Shenhua Holdings announces connected transaction with Brilliance Auto Group
Shenhua Holdings announces connected transaction with Brilliance Auto Group
Written by Administrator
Thursday, 15 March 2007
BEIJING, March 13 (InfoChina) – Shanghai Shenhua Holdings Co. Ltd. (600653), a Shanghai-listed unit under control of Brilliance Auto Group, parent company of Brilliance China Automotive Holdings Ltd. (NYSE: CBA, HK: 1114), signed an agreement with three subsidiaries of Brilliance Auto Group, namely Shenyang Brilliance Jinbei Automobile Co. Ltd, BMW Brilliance Automotive Co. Ltd and Mianyang Xinchen Engine Co. Ltd. recently, for purchasing no more than 4.471 billion yuan of automobiles and engines, including no more than 4.411 billion yuan for auto procurement.
In accordance with the announcement made by Shenhua Holdings, the company has signed with Shenyang Brilliance Jinbei Automobile to purchase Zhonghua serial sedan cars, Jinbei serial light passenger vehicles and auto parts with total value of no more than 3.3 billion yuan within a year.
Besides, Shenhua Holding’s four subsidiaries engaged in auto sales and service will purchase BMW-Brilliance cars from BMW Brilliance Automotive with an aggregate value of some 1.111 billion yuan.
The aforesaid connected transactions are deemed to improve inner industrial and operational structure of subsidiaries within the group company and play the advantages of auto production and sales companies, with an aim to improve their economic efficiency. (Edited by Sun Huanjie,
)
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