AVIC Initiates Asset Reorganization or Hafeichang River Reorganization or Declines in One Month


AVIC and its controlling shareholding company Changhe and Dongan Motor also issued announcements at the same time, stating that the controlling shareholders of the three listed companies, China Aviation Industry Corporation No.2 and China Aviation Industry Corporation No.1, have officially started strategic restructuring. Affected by this, AviChina has decided to reorganize Changhe shares and the results will be announced within a month. The joint venture between Dongfeng and Hafei will also be known.

Changhe just clarified the news of a new “Changhe's marrying of the new China Airlines” at the beginning of May. I did not expect that one month later, the choice of “marrying or not marrying” was already in front of her.

At present, the preparatory group for China Aviation Industry Corporation has been established, and China Aviation Industry Corporation after the restructuring of AVIC First Group Corporation and AVIC Second Group Corporation will be established in July this year. With the advent of the "New China Aviation Times," the reorganization of Changhe Automobile and Hafei Automobile that has been delayed for several years will have to be implemented.

At present, the restructuring of Changhe has begun. Changhe Co., Ltd. made it clear that it has received a notice from the controlling shareholder AVIC Scientific (China Aviation Industry Co., Ltd.) that AviChina Technology Co., Ltd. intends to carry out related asset restructuring of the company, but the restructuring plan still needs to carry out policy consultation and program demonstration to relevant departments. . Changhe shares will disclose this major asset reorganization within 30 days and said: "If the board of directors fails to convene the board of directors to consider a major asset restructuring plan, the company's shares will be resumed trading on July 18, 2008 at the latest, and the company is Within three months after the stock recovery transaction, no major assets reorganization will be planned.” It is clear that the direction of Changhe Auto will surely be finalized within this month.

For the two car companies under AVIC Group, it is not possible to maintain the status quo. At present, the two most probable options are two types: integration or stripping.

The integration of Hafei and Changhe has once again become an issue before the AVIC Group. After several years of arguments, integration seems to have been the best choice for the new CNAC. After all, its subsidiaries have high-quality automotive power assets such as Dongan Power, and the formation of a strong automobile resource chain after consolidation will greatly enhance the profitability of the new CATIC.

The divested plan was recognized by industry experts. After all, according to the country's industry restructuring policy, the main business of the new China Airlines is the aviation industry. As early as a few years ago, some experts suggested that Changhe and Hafei fly their own solo, looking for New partners get rid of the long-standing loss.

However, compared with Hafei's joint venture with Dongfeng, or the reorganization within the group, Changhe’s situation is even more difficult: years of losses have made it a burden to Air China and once intentional buyers have abandoned it. The best choice is to stay in the AVIC Group.

Hafei Dongfeng Negotiation Acceleration

As of the morning of the morning, due to the influence of Changhe reorganization, the long-term joint venture between Hafei and Dongfeng will have to draw results within a month. However, the message given by Dongfeng was that the talks between the two sides are still proceeding as originally planned.

However, Dongan and Hafei will jointly hold a 50% stake in the joint venture company after the plan was disclosed in February this year, there will be no movement, there is news that the two sides on the issue of funding differences.

Just a few days before the reorganization of the China National Aviation Corporation, Dongan Power issued an announcement saying that because AviChina and Dongfeng Motor have not yet signed a relevant agreement, they should be held in April this year to postpone the election of the new board of supervisors. It can be seen that according to the original plan, this joint venture is likely to be delayed until the end of the year.
View related topics: Dongfeng Group announced that it will hold "Hafei"


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