Ganfeng Lithium buys subsidiary shares in related deal

Ganfeng Lithium (SZSE:002460) announced its plan to acquire the remaining equity of its subsidiary, Shenzhen Yichu Energy Technology, in a deal worth 200 million RMB ($28 million USD). The transaction involves acquiring shares held by Ganfeng Lithium's subsidiary, Jiangxi Ganfeng Lithium Battery Technology. Post-transaction, Ganfeng Lithium will hold 71.352% equity in Shenzhen Yichu. Some Ganfeng Lithium executives will invest in Shenzhen Yichu, creating a related-party transaction, which has been approved by independent directors and will not require shareholder approval. The move is intended to boost Ganfeng Lithium's management control and competitiveness in its core business areas.