CRRC denies reports on buying Bombardier's railway business
Updated: 2015-06-30 07:34
(Xinhua)
|
|||||||||
People visit the exhibition stand of CRRC Corp, a new conglomerate formed by the merger of China's top two high-speed rail makers, China North Railway (CNR) and China South Railway (CSR), at the UrTran 2015 International Urban Rail Exhibition in Beijing, capital of China, June 16, 2015.[Photo/Xinhua] |
Neither CRRC nor its subsidiaries have had plans to make such an acquisition, the firm said in a statement to the Shanghai Stock Exchange.
The statement came after media reports last week that an plan announced by CRRC to purchase the stocks of a Hong Kong-listed company would pave the way for acquiring Bombardier's railway business.
CSR (Hong Kong), a CRRC subsidiary, intends to subscribe 6.5 billion new stocks that may be issued by China Properties Investment Holdings Ltd at a price of HK$0.1 ($0.013) per share in cash, CRRC announced on June 19.
If completed, that deal will allow CSR (Hong Kong) to hold 60.52 percent of the latter's outstanding shares.
The announcement triggered speculation that CRRC might use China Properties Investment Holdings Ltd as a shell company to increase financing for investment in Bombardier.
CRRC was formed by the merger of China's former top two train manufacturers, China North Railway (CNR) and China South Railway (CSR). The new conglomerate debuted on the Chinese stock market on June 8.
Reuters reported on April 29 that CNR and CSR had been in discussions with Bombardier about possibly buying a controlling stake in the Canadian company's railway unit, noting that the discussions could not move forward until CSR and CNR completed the merger.
CRRC's share prices fell Monday, diving 8.6 percent in Shanghai and dropping 3.1 percent in Hong Kong.
- Japan's Diet gets 1.65m signatures against security bills
- Thailand's first MERS case declared free of deadly virus
- US, New Zealand to discuss Pacific co-op
- Beijing and Brussels unlikely to reach consensus on investment synergy
- Hollande, Essebsi vow 'solidarity against terrorism' after attacks
- French beheading suspect was 'normal neighbour'
Most Viewed
Editor's Picks
Seventh China-US strategic dialogue |
Premier Li embarks on Latin America visit |
What do we know about AIIB |
Full coverage of Boao Forum for Asia |
Annual legislative and political advisory sessions |
Spring Festival trends reflect a changing China |
Today's Top News
European visit to find economic synergies
Disney bans selfie sticks at theme parks over safety concerns
China gets 30% stake in AIIB as bank takes shape
New York prison break ends with shooting of 2nd fugitive
Nation can meet growth challenges, premier says
China mulling 'green finance' to tackle environmental blues
Top leadership studies anticorruption ahead of CPC anniversary
Key events in the history of US gay rights
US Weekly
Geared to go |
The place to be |