On October 15, the signing ceremony of the tripartite strategic cooperation agreement between Sinochem Group, the actual controller of Sinochem Int'l, and Yangzhou Municipal Government and Jiangsu Yangnong Group was held in Beijing. Liu Deshu, President of Sinochem Group, Xie Zhengyi, Secretary of Yangzhou Municipal Party Committee, Pan Zhengyi, Vice President of Sinochem Group, Zhang Zenggen, General Manager of Sinochem Int'l et al. attended the ceremony.
Through the signing of this strategic cooperation agreement, Sinochem Group has reached a consensus with Yangzhou City on Yangnong Group’s future development.
Before the beginning of signing ceremony, President Liu held talked with Secretary Xie Zhengyi. President Liu firstly expressed his thanks to Yangzhou Municipal Party Committee and Government’s great support to the cooperation between Sinochem Group and Yangnong Group. Then, he reviewed the cooperation between the two companies since 2011, and said that under the support and promotion by local government, Sinochem Group and Yangnong Group had discussed the future direction of development for many times, and had established the strategic idea of co-developing fine chemicals industry based on their respective strengths. President Liu hoped that, with the help of all parties, Yangnong Group would achieve leaping development. Secretary Xie highly recognized Yangnong Group’s strategic development idea for the future, and hoped that Sinochem Group would strengthen its industrial investment in Yangzhou. He added that Yangzhou Municipal Party Committee and Government would continue to support the development of Sinochem in the city.
In March 2012, Sinochem Int'l obtained 40.53% of Yangnong Group’s stock equity through acquisition and capital increase. On September 29 this year, Sinochem Group transferred 0.06% of Yangnong Group’s stock equity held by Jangsu Jinmao Chemical Engineering Medicine Group Co., Ltd. by means of free transfer. By then, Sinochem Group had become the actual controller of Yangnong Group, directly and indirectly holding 40.59% of Yangnong Group’s stock equity.