China Firm Buys Scana Machinery Co. Stake
Norway Headquartered Scana Industrier ASA has entered into an "Equity Sale and Purchase Agreement" with Leshan Zhi Yuan Gao Di Mining Co. Ltd. regarding a sale of Scanas 80% equity share interest in Leshan Scana Machinery Co. Ltd.
The new owner will immediately take responsibility for daily operation of the company together with the existing organization, and will take responsibility for the companys obligations, say Scan Industrier.
Leshan Scana Machinery is located in Leshan City, Sichuan Province, China.
"The transaction will gradually strengthen Scanas capital base through cash inflow and reduced debt. The "Equity Sale and Purchase Agreement" is now to be approved by Chinese authorities. Also, the Company needs a new business license reflecting the change in the equity interest before the deal is finally closed," says Mr. Rolf Roverud, CEO of Scana Industrier.
"The sale is part of the activities undertaken by Scana to strengthen Scanas capital base and dispose assets that are considered to be non-core," adds Rolf Roverud.