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Chongqing Machinery & Electric Co. Ltd. Announces Strategic Acquisition in Gear Industry

Story Highlights
  • Chongqing Machinery & Electric focuses on machinery tools and electric equipment.
  • The company acquires 100% equity interest in a target company to strengthen its industry position.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Chongqing Machinery & Electric Co. Ltd. Announces Strategic Acquisition in Gear Industry

Elevate Your Investing Strategy:

Chongqing Machinery & Electric Co. Ltd. Class H ( (HK:2722) ) has shared an update.

Chongqing Machinery & Electric Co., Ltd. announced a connected transaction involving its subsidiary, Chongqing Machine Tools Group, acquiring 100% equity interest in a target company from the Asset Company, a subsidiary of its controlling shareholder. The valuation for this acquisition was conducted using an asset-based approach due to the gear industry’s competitive nature and profit fluctuations, making income and market approaches unsuitable. This transaction aims to strengthen the company’s position in the gear industry, despite the challenges posed by intense domestic competition.

More about Chongqing Machinery & Electric Co. Ltd. Class H

Chongqing Machinery & Electric Co., Ltd. operates in the machinery and electric industry, focusing on the production of machinery tools and electric equipment. The company is based in the People’s Republic of China and is involved in various sectors including the gear industry, which is known for its rapid technological advancements and intense competition.

YTD Price Performance: 61.25%

Average Trading Volume: 11,642

Technical Sentiment Consensus Rating: Sell

Current Market Cap: €512.7M

See more insights into 2722 stock on TipRanks’ Stock Analysis page.

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