China Natural Resources Inc (NASDAQ:CHNR) shares are trading higher after the company on Friday agreed to sell all outstanding shares of Precise Space-Time Technology Limited to Feishang Group Limited.
The deal value of RMB95,761,119 in cash (approximately $13.2 million, base purchase price) includes Precise Space-Time Technology’s outstanding payable owed to the company.
Through its wholly-owned subsidiaries, Precise Space-Time Technology owns a 51% equity interest in Shanghai Onway Environmental Co Ltd, providing equipment for rural wastewater treatment and engineering, procurement, and construction services to wastewater treatment in China.
The valuation of Precise Space-Time Technology as of December 31, 2022, as determined by an independent valuation firm on July 28, 2023, is RMB-34,197,300.
China Natural Resources acquired all outstanding shares of Precise Space-Time Technology from Mr. LI Feilie for approximately RMB104.1 million in July 2021.
Mr. Wong Wah On Edward, Chairman of China Natural Resources, said, “The disposition of Shanghai Onway can help the Company streamline its resources and invest in opportunities that will help the Company grow.”
Price Action: CHNR shares are up 22.7% at $2.41 on the last check Monday.
