On March 16, 2011, Sinochem Lantian Co., Ltd. (hereinafter referred to as Sinochem Lantian) and Sinochem Shanghai Co., Ltd. (hereinafter referred to as Sinochem Shanghai) signed a formal agreement. Sinochem Shanghai transferred its all shares of Fujian Jianyang Kings Ming Co., Ltd. (hereinafter referred to as Kings Mining) and Fujian Jianyang Kings Fluoride Industry Co., Ltd. (hereinafter referred to as Kings Fluoride) to Sinochem Lantian, which made Sinochem Lantian the largest shareholder of the above two companies.
As a fluorine chemical platform of Sinochem Group, Sinochem Lantian is dedicated to building itself into a domestic leading fluorine chemical enterprise, thus initiating the M&A program of Kings Mining and Kings Fluoride in 2010. Company leaders have visited Jianyang, Fujian Province many times and decided to incorporate AHF business of Kings Fluoride into Sinochem Lantian’s integrated procurement and sales system.
Kings Mining and Kings Fluoride are located in the southeast coastal area, which is adjacent to east China market and Sinochem Lantian’s production bases in Taicang, Shangyu and Hangzhou and enjoys convenient transportation. Taking control of these two companies is an important step for Sinochem Lantian to further acquire fluorspar resources and ensure supply of AHF raw materials, which is of strategic importance for sustainable development of Sinochem Lantian’s fluorine chemical business.