China Shenhua (01088) plans to acquire assets of 133,598 billion yuan from controlling shareholders and raise supporting capital of no more than 20 billion yuan to upgrade the entire industrial chain layout

Zhitong Finance App News, China Shenhua (01088) announced that the company plans to purchase 100% of Guoyuan Electric Power's shares, 100% of the shares of Xinjiang Energy, 100% of the shares in the chemical company, 100% of Wuhai Energy's shares, 100% of the shares of Pingzhuang Coal, 41% of Shenyan Coal, 49% of Jinshen Energy, 100% of Baotou Mining's shares, and 100% of the shares in the shipping company, 100% of the shares in the coal distribution company, and 100% of the shares in the port company through the issuance of A-shares and cash payment. Cash payment was used to purchase 100% of Inner Mongolia Construction Investment's shares held by Western Energy. The transaction price was about 133,598 billion yuan. At the same time, the company plans to issue A-shares to no more than 35 specific investors to raise no more than 20 billion yuan in supporting capital.

The total share and cash payment ratios for this transaction were 30% and 70%, respectively. Of these, the cash consideration was approximately RMB 93,518.8 billion, and approximately 1,363 billion shares were issued at an issue price of 29.40 yuan/share.

The transaction involved a total of 12 target companies. The business covers various fields such as coal, Kengkou coal and electricity, coal chemicals, etc., which is conducive to increasing the production capacity and resource reserve scale of listed companies, further optimizing the layout of the entire industry chain, and creating favorable conditions for promoting clean production, optimizing capacity matching, and improving profitability. As of July 31, 2025, the total assets of the underlying assets were 233.423 billion yuan, and the total net assets attributable to mother were 87.399 billion yuan; in 2024, the total realized operating income of the underlying assets was 113,974 billion yuan, and the total net profit after deducting impairment losses on long-term assets was $10.570 billion, corresponding to the overall transaction consideration of $128.671 billion. Considering the evaluation benchmark, the National Energy Group will increase the capital of chemical companies by 4.927 billion yuan in the future. After the adjustment, the final overall transaction consideration was 133,598 billion yuan.

Through this transaction, China Shenhua's coal holdings will increase to 68.49 billion tons, with a growth rate of 64.72%; coal reserves will increase to 34.5 billion tons, with a growth rate of 97.71%; coal production will increase to 512 million tons, with a growth rate of 56.57%; China Shenhua's basic earnings per share after deducting non-recurring profit and loss in 2024 will increase to 3.15 yuan/share, an increase of 6.10%. Basic earnings per share after deducting non-recurring profit and loss from January to July 2025 will increase to 1.54 yuan/share, an increase of 4.40%. After the completion of this transaction, it will significantly increase the business strength of the listed company, thereby improving the asset quality and profitability of the listed company and rewarding all investors.