Hainan Rubber increases investment in joint venture

Hainan Natural Rubber Industry Group Co., Ltd. announced Dec. 22 to increase investment in a joint venture.

The joint venture, Hainan Huaxiang Industrial Co., Ltd. was established in Nov. 1, 2017 and its business scope includes foreign trade, chemicals, building materials, conference service and warehousing service.

Huaxiang Industrial’s registered capital is 80 million yuan, in which Hainan Huayang Investment Group Co., Ltd. invests 52 million yuan and holds a 65% stake, and Hainan Rubber Group invests 28 million yuan in kind and holds a 35% stake.

According to the announcement, Hainan Rubber will change the 28-million-yuan investment in kind to equity investment.

In addition, Hainan Rubber has assessed the value of 100% stake in Hainan Jingwei Latex Co., Ltd., 100% stake in Hainan Anshunda Rubber Products Co., Ltd., 100% stake in Hainan Laocheng Rubber Processing Industrial Park Investment and Management Co., Ltd., 100% stake in Hainan Zhizhi Latex Co., Ltd. to increase investment in Hainan Huaxiang Industrial.

The equity assessments of the four firms are respectively 337.55 million yuan, 154.38 million yuan, 111.20 million yuan, and 17.98 million yuan.

Currently, Hainan Rubber has invested 621.11 million yuan in Hainan Huaxiang Industrial and still holds a 35% stake in it.

Moreover, Huayang Investment Group also has increased investment in Huaxiang Industrial to 1.15 billion yuan by cash and holds a 65% in the latter.