Aug. 14, 2012 (China Knowledge) - Aluminum Corporation of China Ltd (Chalco)<601600
>, the country's largest aluminum producer, announced today that it has agreed to acquired a 35.3% stake in Ningxia Electric Power Group for RMB 2.02 billion.
The company said in a statement that it will purchase a 23.42% stake in the target firm from Bank of China Group Investment Ltd for about RMB 1.35 billion.
In addition, Chalco has signed an agreement with China Zhongtou Trust Co to buy an 11.88% shareholding in Ningxia Electric Power for RMB 674 million.
Upon the completion of the stake purchases, Chalco will become the largest shareholder of Ningxia Electric Power.
Ningxia Electric Power, set up in June 2003, has a registered capital of RMB 3.57 billion. The company is currently 25.26% held by Ningxia State-owned Investment Co and 23.66% by Huadian Power International Co Ltd<600027
>. At the end of 2011, the company had installed power capacity of 4.79 gigawatt.