Chinese steel producer Xinyu Iron & Steel Co., Ltd (Xinyu Steel) announced on April 24 that Jiangxi Province State-owned Capital Operation Holding Group Co., Ltd, which holds 100 percent equity in Xinsteel Group - the controlling shareholder of Xinyu Steel, inked a free transfer agreement with major Chinese major Baowu Group. Accordingly, Jiangxi Province State-owned Capital Operation Holding Group will transfer 51 percent of its equity in Xinsteel Group to Baowu Group.
Meanwhile, the company stated that the free transfer needs further approval from the relevant government department, and so some uncertainty regarding the transfer still exists.
Xinsteel Group is located in Xinyu city in Jiangxi Province, and has an annual crude steel capacity of 10 million mt.
Recently, Baowu Steel announced that it will target a crude steel output of 200 million mt by the end of 2025 via the acquisition of more steel enterprises.