|Acquisitions and Disposals||
|Description||The Board of Directors of Yongmao Holdings Limited (the "Company") wishes to announce that the Company has increased its investment in the registered and paid up capital in its associated company, Beijing Tat Hong Zhaomao Equipment Rental Co., Ltd ("BTHZER") from RMB9,000,000 to RMB22,500,000. ("Additional Investment").
The Company currently holds 45% in the registered and paid up capital in BTHZER through its wholly owned subsidiary, Fushun Yongmao Construction Machinery Co., Ltd ("FYCM").
Following the Additional Investment, the Company's shareholdings of 45% in BTHZER shall be held in the following manner:-
(a) RMB13,500,000 representing 27% in BTHZER to be held directly in the name of the Company; and
(b) RMB9,000,000 representing 18% in BTHZER to be held through FYCM.
The Additional Investment was funded through internal resources and is not expected to have any material impact on the consolidated net tangible assets and earnings per share of the Group for the current financial year.
Save as disclosed above and that one of our Non-Executive Director, Mr. Ng San Tiong is also an executive director in Tat Hong, none of our directors (and their associates) have any interests, direct or indirect, in the Proposed Transaction.
By Order of the Board
Tian Ruo Nan
Chief Executive Officer
16 March 2010