Wanwei Proposes Share Placement to Controlling Shareholder

Anhui Wanwei Updated High-Tech Material Industry (SHA:600063) proposed to place shares to its controlling shareholder, Anhui Wanwei Group, according to a Shanghai bourse filing on Friday. Proceeds from the share placement will be used to construct factories for PVA optical film for next-generation display panels and for ethylene-process functional PVA resin, with a total cost of 4.32 billion yuan. About 2.30 billion yuan will be financed through the share placement. Wanwei Group is expected to hold over 30% of the Chinese chemical fiber manufacturer's total shares after the transaction's completion. The company's shares dipped 7% at the close.