Liaoning-based Anshan Iron and Steel (Angang) has purchased a 1.2 percent stake in Jilin-based Jien Nickel at a cost of RMB 157 million ($23 million), becoming the third largest shareholder in the latter company.
Jien Nickel had issued 47.78 million shares at a price of RMB 16.22 ($2.4) per share in its private placement.
Angang is interested in Jien Nickel's resources of nickel, an essential raw material in stainless steel production.
Baosteel Group holds 3.3 million shares in Jien Nickel.