ST Everest premium purchases 4.3 billion yuan for upstream mining

On July 6, Tibet Everest Industrial Co., Ltd. ("ST Everest") issued an announcement stating that it would like to issue 342.7 million shares to purchase Tazhong Mining Co., Ltd. ("Tazhong Mining") for lead and zinc mining. ) The entire equity interest. It is worth mentioning that the net asset book value of Tazhong Mining's benchmarking day was only RMB182 million, and the estimated value was RMB4.5 billion, which was approximately RMB4.3 billion more than the book value.

According to the announcement, the acquisition of ST Everest intends to issue 347 million shares to major shareholder Tacheng International and its related party Central Technology for 13.13 yuan/share, among which, approximately 315.3 million shares will be issued to Tacheng International and will be issued to Central Technology. With 0.274 billion shares, this move will bring 100% of Tazhong Mining’s shares in the bag. According to the announcement, the net asset book value of Tazhong Mining's benchmarking day was 182 million, but the estimated value of the acquisition was 4.5 billion, with a premium of 4.318 billion. ST Everest said that the value-added assessment was due to the appreciation of the mineral rights. It is reported that this purchase case needs to be submitted to the company's shareholder meeting for deliberation item by item and approved by the China Securities Regulatory Commission.

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