Disposal of Equity Interest in Long Prosperity
09 9월 2009 - 4:15PM
UK Regulatory
TIDMYGH
RNS Number : 7503Y
Yinggao Holdings PLC
09 September 2009
Yinggao Holdings plc
("the Company")
Disposal of Equity Interest in Long Prosperity Industrial Limited
Yinggao Holdings plc announces today that a wholly owned subsidiary of the
Company, Yinggao Energy Limited ("YEL") has agreed to sell the 100 per cent.
equity interest it owns in Long Prosperity Industrial Limited ("LPIL") to a
related company, Winko Foundation Limited ("WFL"), whose sole shareholder Keen
Lloyd Holdings Limited is also the major shareholder of the Company, holding
92.06 per cent. of the Company's issued share capital.
The only asset owned by LPIL is a 59.2 per cent. stake in Hubei Chang Zhou Power
Development Limited ("HCPD"), a joint venture company operating a coal-fired
power plant in Hubei , China. The power plant ceased operation in the third
quarter of 2007 and has shut down following an agreement signed with the local
government in June 2007.
An announcement was made on 4 June 2008 by the Company detailing that the value
of the property, plant and equipment at the power plant in Hubei was to be
wholly written off. As a result, the power plant now carries no value in the
balance sheet of the consolidated accounts of the Company and no longer makes
any contributions to the Company.
In terms of liabilities, HCPD is the borrower in respect of the US$1.9 million
loan from Industrial and Commercial Bank of China Limited. This was the disputed
loan which lead to the qualification in the audit report for the year ended 31
December 2008. In addition, HCPD may incur decommissioning costs of
approximately GBP300,000 in respect of the power plant if it is not sold prior
to 2010. The result of the sale of the shares in LPIL to WFL is that the
liabilities and issues that currently sit in either LPIL or its subsidiary HCPD
will thereafter be outside the Company and the Company's consolidated accounts
will have significant uncertainties removed from them.
Under the sale and purchase agreement YEL will dispose of the 5,000 ordinary
shares it owns in LPIL to WFL for a nominal consideration of HK$1.00. In
addition, the agreement states that YEL will be paid 50 per cent. of any amount
recoverable by LPIL as a result of the legal proceedings in which LPIL is
currently engaged as co-plaintiff with Global Assets Limited and Walton
Enterprises Limited against Sun Hung Kai Securities Limited for breach of
contract in relation to the sale of equity in HCPD.
The independent directors of the Company, having consulted with Daniel Stewart &
Company plc, the Company's nominated adviser, consider that the disposal of
YEL's equity interest in LPIL is in the best interests of the Company and that
the terms of the transaction as fair and reasonable insofar as Shareholders are
concerned.
For further information:
Angela Leung Tel: + 852 2219 9999
Yinggao Holdings plc
www.yinggaoholdings.com
Paul Shackleton
Daniel Stewart & Company plc Tel: + 44 (0) 207 776
6550
www.danielstewart.co.uk
This information is provided by RNS
The company news service from the London Stock Exchange
END
DISGRGDCUGGGGCC
Yinggao (LSE:YGH)
과거 데이터 주식 차트
부터 4월(4) 2024 으로 5월(5) 2024
Yinggao (LSE:YGH)
과거 데이터 주식 차트
부터 5월(5) 2023 으로 5월(5) 2024
Yinggao Hldgs (London Stock Exchange)의 실시간 뉴스: 최근 기사 0
More Yinggao Hldgs News Articles