Avic Heavy Machinery adjusts investment, plans equity transfer

Avic Heavy Machinery (SSE:600765) has announced a partial adjustment to its "Special Material Isothermal Forging Production Line Construction Project," initially funded through a non-public offering in 2021. Approved by the board on June 5, 2025, the project’s location shifts from Shanghai to Guiyang, aiming to foster technological innovation in collaboration with research institutions and universities. The adjustment involves reallocating resources to a Guiyang-based initiative, led by Avic Heavy Machinery and its subsidiary, AVIC Heavy Machinery Aerospace Material Engineering (Guizhou). This move addresses evolving market demands and promotes cost-effectiveness in aviation equipment manufacturing. The adjustments increase the project's internal rate of return to 15.70%.