(By Balaseshan) China Natural Resources Inc. (NASDAQ:CHNR), which engages in the acquisition and exploitation of mining rights, said it would explore possible spin-off of coal-mining and related operations.
The company's board of directors has provided preliminary authorization to explore a possible spin-off and listing on an overseas stock exchange of its coal-mining and related operations, subject to, among other things, regulatory approvals and market conditions.
The company anticipates the proposed spin-off and listing to include the offering of ordinary shares that will not be registered under the Securities Act of 1933, as amended.
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No decisions have been made regarding the timing and terms of such transaction or whether the company will ultimately proceed with such a transaction.
China Natural Resources is engaged in the acquisition and exploitation of mining rights, including the exploration, mineral extraction, processing and sale of iron, zinc and other nonferrous metals extracted or produced at mines primarily located in Anhui Province in the People's Republic of China.
The company's activities also include the exploration, construction, development, and operation of coal mines located in Guizhou Province. It operates in two segments: exploration and mining - non-ferrous metals, and exploration and mining - coal.
CHNR is trading up 6.34% at $6.71 on Monday. The stock has been trading between $6.02 and $12.93 for the past 52 weeks.