Xinyi Glass in HK$1.6b deal to buy China Glass

Xinyi Glass (0868) plans to acquire China Glass's (3300) all issued shares of 1.81 billion share at HK$1.67 billion.

Including all the outstanding convertible bonds and canceling all the outstanding share options, each costs HK$0.9, equivalent to a discount of 17.4 percent compared to yesterday closing price of HK$1.09.

China Glass will remain listed and traded on the Stock Exchange.

Xinyi Glass expects that the acquisition will also enhance the economies of scale by raising production efficiency and saving costs of purchases,  production, and fixed costs.