Baoshan Iron and Steel Co., Ltd.

For the parent company of this company, that formerly known as Baosteel Group (Baoshan Iron and Steel Group), see China Baowu Steel Group.

Baoshan Iron & Steel Co., Ltd.

logo (left) and slogan (right)
Type	public
Traded as	SSE: 600019
ISIN	CNE0000015R4
Industry	Metallurgy
Founded	3 February 2000 (2000-02-03) [1]
Founder	Baosteel Group
Headquarters	Shanghai , China
Products	Steel
Owner	Baowu Steel Group (61.93% directly and indirectly)
Number of employees	56,158 [2] (2018)
Subsidiaries	Wuhan Iron & Steel Co., Ltd. (100%) Meishan Iron & Steel Co., Ltd. (77.0%) Zhanjiang Iron & Steel Co., Ltd.
Chinese name
Simplified Chinese	宝山钢铁股份有限公司
Traditional Chinese	寶山鋼鐵股份有限公司
Literal meaning	Baoshan Steel and Iron Company Limited by Shares
Transcriptions Standard Mandarin Hanyu Pinyin Bǎoshān gāngtiě gǔfèn yǒuxiàn gōngsī
stock alias
Simplified Chinese	宝钢股份
Traditional Chinese	寶鋼股份
Literal meaning	Baosteel Shares
Transcriptions Standard Mandarin Hanyu Pinyin Bǎogāng gǔfèn
short name (shared with parent company)
Simplified Chinese	宝山钢铁
Traditional Chinese	寶山鋼鐵
Literal meaning	Baoshan Steel and Iron
Transcriptions Standard Mandarin Hanyu Pinyin Bǎoshān gāngtiě
second short name (shared with parent company)
Simplified Chinese	宝钢
Traditional Chinese	寶鋼
Literal meaning	Baosteel
Transcriptions Standard Mandarin Hanyu Pinyin Bǎogāng
Website	www.baosteel.com
Footnotes /references in a consolidated basis [3]

Baoshan Iron & Steel Co., Ltd., also known as Baoshan Iron & Steel and Baosteel, is a maker of steel based in Shanghai, China, and a subsidiary of China Baowu Steel Group (formerly Baosteel Group). It is listed on the Shanghai Stock Exchange and is a constituent of the CSI 300 stock market index. ^[4]

History

In 2000, the Baosteel Group split, creating the new Baoshan Iron and Steel Co., Ltd., ^[1] which was listed on the Shanghai Stock Exchange. It was the largest initial public offering in China up to that time, ^[5] raising CNY 7.7  billion despite being limited to domestic investors.

In 2004, Baoshan Iron and Steel acquired Meishan Iron and Steel. ^[6] In October 2012, Baosteel acquired a 71.8% stake in Zhanjiang Iron and Steel from the State-owned Assets Supervision and Administration Commission (SASAC) of the Guangzhou Municipal People's Government. In the same year, Baosteel invested CNY 8 billion in the third pipeline of the West–East Gas Pipeline, acquiring a 12.8% stake (the pipe was incorporated as a limited company called Chinese :中石油西北联合管道有限公司). In December 2015, a new company, PetroChina Pipelines (Chinese :中石油管道有限公司), was formed to manage all three of the West-East pipelines, and existing share capital of the three management companies were converted into the share capital of the new company, giving Baosteel an overall 3.25% stake. ^{[3] [7]}

On 21–22 September 2016, a merger between Baosteel Group and Wuhan Iron and Steel Group was announced. Baoshan Iron and Steel would take over the listed counterpart from Wuhan Iron and Steel Group in an all-share deal, ^[8] while all the rights of Wuhan Iron and Steel Group would be transferred to Baosteel Group, as both corporations were supervised by the Central Government's SASAC.

In 2019, it was announced that one of the steel plants of the listed company, Meishan Iron and Steel, would relocate to Yancheng, Jiangsu Province in the 2020s. ^[9]

Shareholders

Since foundation, Baosteel Group (now called China Baowu Steel Group after a merger) is the controlling shareholder of the listed company. In turn it is owned by the Chinese Central Government. However, the ownership ratio changed from time to time.

In mid-2016, Baosteel Group and China National Petroleum Corporation, both overseen by the SASAC of the State Council, formed a cross ownership arrangement for their listed subsidiaries. After the deal, Baosteel Group held a 0.34% stake in PetroChina, while China National Petroleum Corp. received a 4.86% stake in Baoshan Iron and Steel. ^[10]

In December 2019, Baowu transferred a further 2.19% stake of the listed company to Beijing local government  [ zh ]-owned Shougang Group. ^[11] Immediately after the deal, Baowu's stake on the listed company decreased from 64.12% to 61.93%. ^[11]

References

1. 招股说明书概要 (Prospectus) (in Chinese). Shanghai: Baoshan Iron and Steel Co., Ltd. 17 November 2000. Retrieved 11 December 2019– via jrj.com.cn. 发行人成立日期
2. http://static.sse.com.cn//disclosure/listedinfo/announcement/c/2019-04-25/600019_2018_n.pdf; retrieved: 11 December 2019.
3. "2015 Annual Report" (PDF). Baoshan Iron and Steel (in Chinese). archive of Shanghai Stock Exchange. 31 March 2016. Retrieved 3 October 2016.
4. "constituent list". China Securities Index. Retrieved 6 October 2016.
5. "China's Baosteel heads for stock market". BBC. 6 November 2000. Retrieved 3 October 2016.
6. 关于资产收购及关联交易的公告 [Announcement of Acquisition of Assets and Related-Parties Deal](PDF). Baoshan Iron and Steel (in Chinese). archive of Shanghai Stock Exchange. 12 August 2004. Retrieved 6 October 2016.
7. "Discloseable Transaction – Connected Transaction" (PDF). PetroChina. 24 December 2016. Retrieved 3 October 2016– via Hong Kong Exchanges and Clearing website.
8. "China's Top Steel Mills Step Closer to Creating Arcelor Rival". Bloomberg. 21 September 2016. Retrieved 3 October 2016.
9. 省政府与宝武集团签署《战略合作协议》 梅钢将从南京迁往盐城 (Press release) (in Chinese). 南京投资与规划处. 2018-12-05. Retrieved 1 December 2019.
10. "Baosteel Seals CNPC Stake Swap With $590 Million Worth of Shares". Bloomberg. 15 August 2016. Retrieved 3 October 2016.
11. 关于国有股份无偿划转的提示性公告 (PDF) (Press release) (in Chinese). Baoshan Iron and Steel Co., Ltd. 11 December 2019. Retrieved 15 December 2019– via Shanghai Stock Exchange website.

External links

• Official website