CSRC Approves Wasu Backdoor Listing
Jinling Evening News, 6/15/12
In a recent public filing, Hunan-based plastics manufacturer Genuine New Material Group (000156.SZ) announced that the company's major asset restructuring plan has been conditionally approved by the China Securities Regulatory Commission (CSRC), clearing the way for Hangzhou-based DTV and IPTV operator Wasu Digital Television Media Group to list using Genuine as a shell company. Genuine will acquire a 100% equity in Wasu Digital in exchange for 978 mln non-circulating shares with an issue price of RMB 2 per share.
When asked whether or not Genuine would be able to complete its asset restructuring, both Genuine New Material and Wasu Digital were cautious. "We can't say the restructuring was successful until we receive written approval from the CSRC," Wasu president Li Yiqing said. Trading has been suspended on Genuine New Material's stock for half of the period since its September 2000 listing. The company said that it will do everything in its power to resume trading by year's end.
Editor's Note: For more background on this topic, please see "Wasu Digital Television Backdoor Listing Plan Approved" MD 8/22/11 issue.
Keywords: corporate restructuring television CSRC Wasu listing Li Yiqing Genuine New Material 000156.SZ M&A
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