Haike raises stake in subsidiary to over 90%

6th Jun 2011 16:32

China-based petrochemical and biochemical group HaiKe Chemical has bought a furth 29% stake in its subsidiary Shandong Hi-Tech Shengli Electrochemical for RMB22.7m (around $3.5m).The acquisition is in line with the group's strategy to diversify the group business from low margin refining to the downstream chemical area, HaiKe said.The group now owns 91.45% in Shengli. "Shengli has been a source of stable income to the Group, and this strategic move enlarges our exposure in the production of caustic soda and chlorine based chemical product," said Xiaohong Yang, executive chairman of HaiKe.---BC