China Gas has officially confirmed its acquisition of Richland Gas, a move that was first reported by the media earlier this week. The deal, valued at $400 million (around HK$3.1 billion), will be fully paid in cash. This strategic move marks a significant step in the company’s ongoing expansion plans within the energy sector.
The acquisition agreement was signed on December 16, and under the terms of the share purchase agreement, Zhongfang may issue up to 250 million consideration shares to Fudi, subject to shareholder approval at a special general meeting. These shares would represent approximately 5.19% of the enlarged issued share capital of China Gas, indicating a major shift in ownership structure.
Richland Gas operates across three key areas: gas distribution, coalbed methane (CBM), and liquefied natural gas (LNG) marine refueling. Its operations span different stages of the supply chain—upstream, midstream, and downstream. As of December 31, 2011, the company's net asset value stood at around $194 million, according to consolidated financial reports.
Both managing directors of China Gas, Liu Minghui and Fudi China, hold a 50% stake in the total issued share capital of CGGL. CGGL currently holds 419,478,000 shares, while Guo Gas owns roughly 9.19% of the total issued shares. This transaction is expected to strengthen China Gas’s market position and enhance its long-term growth prospects.
Following the announcement, China Gas suspended trading on the stock exchange yesterday morning. The company has since stated that it will resume trading today, as it continues to manage the implications of the acquisition. Investors are closely watching how this deal will impact the company’s future performance and competitive edge in the energy industry.Emergency Spotlight,Handheld Spot Light,Led Emergency Spotlight,Twin Emergency Spot Light
JIALINGHANG ELECTRONIC CO.,LTD. , https://www.jlhemergencylighting.com