On the evening of January 25, Hunan Gold Co., Ltd. announced its intention to acquire a total of 100% equity in Hunan Gold Tianyue Mining Co., Ltd. from Hunan Gold Group and Tianyue Investment Group, and 100% equity in Hunan Zhongnan Gold Smelting Co., Ltd. from Hunan Gold Group, by issuing shares. Upon completion of the transaction, both Gold Tianyue and Zhongnan Smelting will become wholly-owned subsidiaries of the listed company.
Simultaneously, Hunan Gold plans to issue shares to no more than 35 specific investors to raise supporting funds. These funds are intended to cover intermediary fees, related taxes for the transaction, invest in ongoing projects of the target companies, supplement working capital for the listed or target companies, and repay debts.
The announcement indicates that this transaction is expected to constitute a major asset restructuring and a connected transaction, but does not constitute a back-door listing. As of the signing date of the preliminary plan, the audit and evaluation work for the target companies has not been completed, and the final transaction price has not been determined. The company's stock will resume trading on Monday, January 26, 2026.
Prior to this transaction, Hunan Gold was primarily responsible for the mining and beneficiation of gold, antimony, tungsten, and other non-ferrous metal ores, the smelting and processing of these metals, the deep processing of gold and refined antimony, and the import/export of non-ferrous metal mineral products. Gold Tianyue is mainly engaged in the integration and exploration of mining rights in the Wangu mining area, as well as the mining, processing, and sales of some gold mines, with its main product being gold concentrate. Zhongnan Smelting specializes in the smelting and processing of refractory gold concentrates, such as those with high arsenic and sulfur content.
Hunan Gold stated that this transaction will further increase its gold resource reserves and strengthen the smelting segment of the gold mining industry chain. This is conducive to further improving its industrial layout, enhancing control over the industry chain, and capturing added value from both the mining/processing and smelting stages of gold production. The company aims to improve the utilization efficiency of gold resources through this deal, thereby boosting profitability and risk resilience.
Meanwhile, the 2025 annual performance forecast disclosed by Hunan Gold on the evening of January 25 shows that the company expects to achieve a net profit of 1.27 billion to 1.608 billion yuan, a year-on-year increase of 50% to 90%. It also expects a net profit excluding non-recurring gains or losses of 1.305 billion to 1.653 billion yuan, also a year-on-year increase of 50% to 90%. The company attributed the performance growth primarily to the year-on-year increase in the selling prices of its gold, antimony, and tungsten products during the reporting period.
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