Yangzijiang Shipbuilding, a globally-leading shipbuilding group based in China, has entered into a joint venture agreement with Japanese shipbuilders Mitsui E&S Shipbuilding (MES-SC) and Mitsui Co to establish a new shipbuilding company in China.

RenYuanLin2 9.11.2016Ren YuanLin, executive chairman of Yangzijiang Shipbuilding. NextInsight file photoThe registered share capital of the New Joint Venture will be up to USD99.9 million, and total capital expected to be employed could amount to USD299 million.

Singapore-listed Yangzijiang will hold a 51% stake in the New Joint Venture which will focus on the construction of a wide range of commercial vessels. It will have its production base at Yangzijiang’s existing Taicang yard in Jiangsu, China, and is expected to commence operations in April 2019.

Stock price

$1.34

52-week
range

84 c – $1.74

PE (ttm)

8.3

Market cap

S$5.2 b

Shares outstanding

3.95 b

Dividend 
yield 
(ttm)

3.4%

1-year return

-8%

Source: Bloomberg

"The New Joint Venture is expected to consolidate MES-SC’s advanced shipbuilding technology and our cost-effective shipbuilding capability. We are optimistic on China’s demand for LNG import and LNG carriers," said Mr. Ren Yuanlin (任元林), Executive Chairman, Yangzijiang Shipbuilding (Holdings) Ltd. 

"The establishment of the New Joint Venture will enhance YZJ Group’s competitiveness and preserve the dominant position for Chinese shipbuilders in the ongoing consolidation of the global shipbuilding industry."

MES-SC said the joint venture would also benefit from Mitsui's extensive sales capabilities: “Taking advantage of its technology that has been accumulated in the 101 years since its founding, MES-SC will continue to provide new value as a manufacturing company that meets the demands of a range of customers in the ship and marine industry.” 

You may also be interested in:


You have no rights to post comments

Counter NameLastChange
AEM Holdings2.350-0.030
Best World2.480-
Boustead Singapore0.9500.005
Broadway Ind0.129-0.004
China Aviation Oil (S)0.905-0.010
China Sunsine0.4100.010
ComfortDelGro1.450-0.010
Delfi Limited0.900-0.010
Food Empire1.320-
Fortress Minerals0.3150.005
Geo Energy Res0.315-0.005
Hong Leong Finance2.480-
Hongkong Land (USD)2.820-0.050
InnoTek0.5350.035
ISDN Holdings0.3050.010
ISOTeam0.039-
IX Biopharma0.0480.005
KSH Holdings0.250-
Leader Env0.048-
Ley Choon0.0430.001
Marco Polo Marine0.0710.003
Mermaid Maritime0.142-0.001
Nordic Group0.3250.010
Oxley Holdings0.088-
REX International0.137-0.005
Riverstone0.8050.025
Southern Alliance Mining0.450-0.025
Straco Corp.0.485-
Sunpower Group0.210-
The Trendlines0.069-0.005
Totm Technologies0.0230.002
Uni-Asia Group0.8200.010
Wilmar Intl3.370-0.010
Yangzijiang Shipbldg1.780-0.030
 

We have 512 guests and no members online

rss_2 NextInsight - Latest News