Cnrun becomes largest shareholder of UK gold firm
Updated: 2012-11-01 16:25
Cnrun Investment Holdings Co has become the largest shareholder of Vatukoula Gold Mines Plc after buying 6.6 million pounds ($10.62 million) worth of Vatukoula's shares, the National Business Daily reported.
Cnrun is a fully owned subsidiary of Chinese real estate investor Zhongrun Resource Investment Corp.
The 20 million shares were sold at 0.33 pound per share. In April, Zhongrun bought 9 million shares at 0.6 pound per share.
This is the latest move in Zhongrun's transformation into a major mining and resources investor, as its real estate investments are being hit by China's property control policies.
The investment will be used to improve Vatukoula Gold's underground mining system. The improvements are expected to boost the company's annual gold production from 1.7 tons to 3.1 tons.
Vatukoula Gold, which is listed on the London Stock Exchange, had net assets of 69.82 million pounds as of May 31, 2012.
The company estimated a total net profit of about 2.5 billion yuan ($397 million) in the next 7 years, the newspaper reported.
- BYD exports three electric cars to Thailand
- Grid gets first jolt of residential solar power
- US now largest buyer of China's exports
- China's outbound M&As on the rise
- Tobacco control may entail price, tax rises
- Quanzhou becomes pilot financial reform zone
- New automobiles shine at Geneva Motor Show
- World's longest high-speed rail 'on track'
- Jiugui Liquor involved in plasticizer scandal again
- Accident reignites school bus safety concerns
- China to revise labor law
- Trademark registration under scrutiny
- Dinner ban takes toll on liquor firms
- CIC tables bid for London's Chiswick Park
- Property buyers eye overseas market
- Call for law to protect personal information
- China to cut train ticket prices
- Christmas business
- Solar industry to get jolt from new policies
- KFC chicken under spotlight
Survey & Comments
