Zijin Mining Invests Over 18.2 Billion Yuan in Chifeng Gold, Becomes Single Largest Shareholder

SighingCashier · 2026-03-23T01:30:55+00:00

Zijin Mining's wholly-owned subsidiary Zijin Gold intends to acquire Chifeng Gold's A-shares and H-shares for RMB 18.258 billion, becoming its largest shareholder. The transaction will strengthen Zijin Group's resource reserves and benefit Chifeng Gold's operations and shareholder value. Chifeng Gold will utilize the funds to improve overseas business operations and expand mining scale.

SighingCashier

2026-03-23 01:30:55

Abstract generation in progress

Zijin Mining (02899) announced that its wholly-owned subsidiary Zijin Gold and Chifeng Gold (06693), controlled by shareholder Li Jinyang and his concert parties Zhejiang Hanfeng, signed a “Share Transfer Agreement” to acquire a total of 242 million shares of Chifeng Gold A-shares for approximately RMB 10.006 billion. Additionally, Zijin Gold and Chifeng Gold signed a “Strategic Investment Agreement,” proposing to subscribe for 311 million H-shares of Chifeng Gold at HKD 30.19 per share, amounting to about HKD 9.386 billion (approximately RMB 8.252 billion). The total transaction consideration is approximately RMB 18.258 billion.

After the completion of the investment and share transfer, Zijin Group will hold 572 million shares (including 242 million A-shares and 330 million H-shares), representing about 25.85% of Chifeng Gold’s equity. Therefore, Zijin Group will become the single largest shareholder of Chifeng Gold.

On the completion date of the share transfer, Li Jinyang and Zhejiang Hanfeng will no longer hold any shares and will cease to be shareholders of Chifeng Gold.

Zijin Mining stated that if the transaction is completed, it will significantly strengthen the company’s resource reserves. This acquisition will add a high-quality domestic gold listing platform for the company and comprehensively enhance its gold resource integration capabilities.

Chifeng Gold expects that introducing Zijin Group as a strategic investor will help support operational improvement initiatives and, over time, increase shareholder value.

Chifeng Gold plans to use the net proceeds of approximately HKD 9.292 billion from the proposed investment for the group’s overseas operations, including but not limited to constructing new power plants, exploration for resource enhancement, exploration projects in deep and peripheral areas, shaft, ramp, and tunnel construction and extension, purchasing equipment and machinery, upgrading and renovating existing processing plants, ongoing operations, expanding open-pit and underground mining, further enlarging the mine scale, acquiring sizable and high-quality mining assets, and general corporate purposes.

Chifeng Gold H-shares resumed trading this morning.

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