Share trading for Little Swan, a home appliance maker based in Wuxi, Jiangsu Province, will be suspended from January 14 to 18, pending the release of important company news, according to a statement issued to the Shenzhen stock exchange.
Industry sources said Little Swan is seeking restructure, possible by the domestic home appliance giants Midea or Changhong.
An official from the Little Swan Group said yesterday that the restructure will be arranged by Guolian Securities.
Midea and Changhong are both stepping up their expansion in the white goods sector. Beside its traditional core business of air conditioner, Midea is penetrating into the refrigerator and washing machine segments. It has injected the assets it acquired from another home appliance maker Royalstar into its listed unit.
Changhong also has ambitious plans. Last December, it bought a controlling stake in Huayi Compressor Co., Ltd, China'’s biggest producer of fluorin-free refrigerator compressors. Before this, Changhong had also bought a stake in Meiling Electrical Appliance Company. The deals enabled Changhong's businesses to cover the entire fridge industry chain.
For more details, please read the full story in Chinese (http://www.china-cbn.com/s/n/000004/20080114/000000087546.shtml).
(China.org.cn January 14, 2008)
