HK Stock Movement | CHALCO (02600) Opens Over 4% Higher on Plans to Acquire Equity in Three Subsidiaries Including Yunnan Aluminum Yongxin to Strengthen Core Business Strategy

CHALCO (02600) opened over 4% higher, rising 4.13% to HKD 10.83 by the time of reporting, with a turnover of HKD 7.6 million.

The company announced that on November 25, 2025, Yunnan Aluminum entered into an acquisition agreement with Yunnan Metallurgy. Under the agreement, Yunnan Aluminum plans to acquire a 28.7425% stake in Yunnan Aluminum Yongxin, a 27.3137% stake in Yunnan Aluminum Runxin, and a 30% stake in Yunnan Aluminum Hongxin from Yunnan Metallurgy via non-public agreement transfer for cash.

Upon completion of the acquisition, Yunnan Aluminum's ownership in Yunnan Aluminum Yongxin, Yunnan Aluminum Runxin, and Yunnan Aluminum Hongxin will increase to 96.0766%, 97.4560%, and 100%, respectively.

As of the announcement date, Yunnan Aluminum is a subsidiary of CHALCO, with Aluminum Corporation of China Limited (Chinalco) as its controlling shareholder. Yunnan Metallurgy is a subsidiary of Chinalco. Yunnan Aluminum Yongxin, Yunnan Aluminum Runxin, and Yunnan Aluminum Hongxin are all controlled subsidiaries of Yunnan Aluminum, with Yunnan Metallurgy being their second-largest shareholder.

Post-acquisition, Yunnan Metallurgy will no longer hold equity in the three companies. This move will help Yunnan Aluminum optimize its corporate equity structure, consolidate aluminum assets professionally, increase equity-based electrolytic aluminum capacity, and align with its strategic goal of strengthening its core business.

Yunnan Aluminum Yongxin and Yunnan Aluminum Runxin have solid assets and financial conditions, with strong profitability. The acquisition is expected to further enhance the net profit attributable to shareholders of both Yunnan Aluminum and CHALCO, improving investment returns and benefiting the overall interests of the company and its shareholders.