Ningbo Xusheng Group (603305) announced the latest progress in its controlling shareholder's plan for a change in corporate control. The company's shares will resume trading on the morning of December 23 (Tuesday).
In a December 22 evening announcement, Ningbo Xusheng Group disclosed that Guangzhou Industry Control Group, GAC Industry Control Auto Parts Group, Xu Xudong, Chen Xingfang, Xusheng Holdings, and Xuri Industrial signed the "Acquisition Agreement on the Control of Ningbo Xusheng Group Co., Ltd." (hereinafter referred to as the "Control Acquisition Agreement"). Xu Xudong intends to transfer his 51% stake in Xusheng Holdings to Guangzhou Industry Control Group, while Chen Xingfang plans to transfer 16% and 33% stakes in Xusheng Holdings to Guangzhou Industry Control Group and GAC Industry Control Auto Parts Group, respectively.
On the same day, GAC Industry Control Auto Parts Group, Xuri Industrial, and Xu Xudong signed a share transfer agreement. Xuri Industrial and Xu Xudong will each transfer 28.9 million unrestricted tradable shares (2.5006% of total shares) to GAC Industry Control Auto Parts Group via block trade.
Prior to the equity change, Xu Xudong directly held 116 million shares (10.02%) of Ningbo Xusheng Group and indirectly controlled 446 million shares (38.64%) through Xusheng Holdings and Xuri Industrial. Combined, Xu Xudong controlled 562 million shares (48.66%), serving as the controlling shareholder and actual controller.
Post-transaction, Guangzhou Industry Control Group and GAC Industry Control Auto Parts Group will hold 67% and 33% of Xusheng Holdings, respectively. Xusheng Holdings retains 255 million shares (22.04%) of the listed company, while GAC Industry Control Auto Parts Group acquires 57.8 million shares (5.0013%). Together with its concert parties, Guangzhou Industry Control Group will hold 310 million shares (27.05%) and gain the right to nominate over half of the board members per the Control Acquisition Agreement. Xu Xudong and his concert parties will retain 250 million shares (21.62%).
Following this change, Guangzhou Industry Control Group replaces Xu Xudong as the controlling shareholder, with Guangzhou Municipal Government becoming the new actual controller.
Earlier on December 18, Ningbo Xusheng Group disclosed that Xu Xudong and his concert parties were negotiating a share transfer potentially leading to a control change. Trading was suspended from December 19 (Friday) for up to two trading days.
Ningbo Xusheng Group specializes in R&D, production, and sales of precision aluminum alloy components. It is among the few industry players mastering die-casting, forging, and extrusion processes, offering integrated lightweight solutions.
Currently, the company is expanding in high-growth sectors like energy storage and robotics. Its self-developed energy storage battery casings and thermal modules have gained market recognition for lightweight, high-strength, and superior thermal performance. In robotics, it supplies joint housings and structural components, securing projects with leading domestic and international firms.
Notably, on October 29, 2024, Xu Xudong had initially proposed a control transfer, which was terminated on November 5, 2024, due to unresolved core terms.
The latest announcement states that Guangzhou Industry Control Group aims to advance state-owned enterprise reform and enhance its NEV industry chain through this acquisition. No immediate plans exist to adjust the listed company’s business scope or operations. Any future adjustments within 12 months will comply with regulatory disclosure requirements.
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