Tianjin Tianhai plans Dangdang takeover
Tianjin Tianhai Investment, a unit of Chinese conglomerate HNA Group, plans to acquire Chinese company Dangdang’s e-commerce assets for RMB7.5 billion (US$1.19 billion).
The acquisition will allow Tianjin Tianhai to tap into China’s e-commerce market via Dangdang, which is known for its online marketplace for books, clothes, furniture and other consumer goods.
Tianjin Tianhai plans to buy 100 per cent stakes in two e-commerce companies owned by Dangdang, a rival to Amazon in China, via cash and an issue of shares, it says in a filing to the Shanghai stock exchange.
Trade in Tianjin Tianhai’s shares were suspended in January because of a restructuring by owner HNA.
The shares remain suspended.
HNA Group is under scrutiny over its opaque ownership and tactics during buying spree over the past few years.
Tianjin Tianhai’s deal requires approval from authorities such as the China Securities Regulatory Commission.