Chinachem Tech updates on asset acquisition, funding plan

HMT (Xiamen) New Technical Materials (SSE:603306) has announced further progress in its plan to acquire the remaining 57.84% equity stake in Shenzhen Fuchuang Youyue Technology through a combination of share issuance and cash payment, including payment by a wholly-owned subsidiary. This follows the initial acquisition of 42.16% through a subsidiary. The deal involves multiple transactions to purchase equity from various shareholders of Fuchuang Youyue. The proposed transaction will likely result in a related-party transaction. The share issuance and cash purchase will need shareholder and regulator approvals, and faces uncertainty. The company will continue disclosing information as required by law.