Hunan Gold shares surge after large deposit found in China
The Geological Bureau of Hunan Province said on Thursday that it had detected more than 40 gold veins containing an estimated 300 tons of the precious metal.
Joy Global, one of the world’s leading heavy-equipment mining companies, will take over China-Based International Mining Machinery Holdings Ltd.
According to a statement released on Thursday, Joy Global will purchase 534.8 million shares of IMM for HKD 8.50 a share representing 41% of the company. Total cost will be USD$538 million. Subject to regulations, Joy Global will purchase the remaining shares of IMM at a later date.
IMM designs and manufactures underground longwall coal mining equipment in China. It also provides aftermarket parts and services through a broad network of service and warehouse locations. In 2010 IMM had revenues of approximately RMB 1,943 million (USD 299 million) and adjusted EBITDA of RMB 585 million (USD 90 million).
Joy Global manufactures and services equipment for surface mining through P&H Mining Equipment and underground mining through Joy Mining Machinery. In 2010 the company had net sales of $3.5 billion and net income of $461 million
Michael McCrae wrote this story with material from Business Wire. You can contact him at [email protected] or on twitter at @michaelmccrae.
