China Railway Group Limited (601390.SH) unveiled on Monday a plan to inject its equities in some industrial manufacturing subsidiaries into China Railway Erju Co., Ltd (600528.SH) to replace the latter's existing business and assets.
Scope of the assets involved in the deal is still to be decided, according to China Railway's filing to the Shanghai Stock Exchange.
Trading of China Railway's A-shares resumed on Monday, while China Railway Erju will continue to suspend trading due to planned major asset restructuring moves.
It is expected that China Railway Erju Co. will see much better profitability following the injection of China Railway's industrial manufacturing business.
Latest comments