AVIC Terminates Proposed Acquisition of Shanghai Catic
By Aiswarya Lakshmi
Monday, October 19, 2015
AVIC International Maritime Holdings Ltd, an active player in the marine and offshore industry, issued a statement that its proposed acquisition of Shanghai Catic Industrial Co Ltd has been terminated after failing to secure relevant regulatory approval.
"To date, the relevant regulatory approval required for the completion of the Sale and Purchase Agreement has not been obtained. In accordance with each of the Sale and Purchase Agreements, it shall be terminated automatically if the conditions precedent provided therein, including the requirement to obtain the relevant regulatory approval from the governmental authorities in the PRC, are not satisfied within 180 days from the date of the Sale and Purchase Agreements," says the statement.
The Long-Stop Date of each of the Sale and Purchase Agreements is 18 October 2015, being the date of this announcement. As the conditions precedent under the Sale and Purchase Agreements have not been fulfilled to date, the Company has by mutual agreement entered into two separate deeds of termination of similar terms with each of the Vendors today, pursuant to which each of the Sale and Purchase Agreements shall be terminated with effect on the same date.
Following the execution of the Termination Deeds, each of the Company’s and the Vendors’ respective obligations and liabilities under the respective Sale and Purchase Agreement shall cease.
Shanghai Catic Industrial Co., Ltd. offers warehousing and logistics services for the aviation industry.