ChemChina, Sinochem Merger Imminent
After two years of speculation, a merger between China National Chemical Corp. (ChemChina) and Sinochem looks to be edging closer to reality, financial publication Caixin has reported.
The government agency responsible for controlling China’s largest state-owned enterprises announced on Saturday that Ren Jianxin, the long-serving chairman of ChemChina, will retire and that Sinochem Group Chairman Ning Gaoning will lead the consolidated chemicals company, Caixin said.
The state-owned giants’ combined annual revenue tops $100 billion.
According to the article, the move to merge “advances China’s State-Owned Assets Supervision and Administration Commission (SASAC) plan to reduce the number of vast state-owned enterprises it controls — many of which are mired in debt — from 101 in 2016 to around 80.”