On the evening of August 13th, Northern rare Earth (600111) announced that Baotou Steel (Group), the controlling shareholder, plans to reduce its holdings of no more than 90.8267 million Northern rare Earth shares in the form of centralized exchange bidding and block trading at market prices within six months after 15 trading days, and the planned reduction does not exceed 2.5 per cent of the total shares of the listed company.
The announcement said that the total number of shares reduced by Baotou Iron and Steel (Group) Company in any continuous 90 days by way of competitive trading shall not exceed 1% of the total number of shares of the company, that is, no more than 36330660 shares; the total number of shares reduced by block trading in any 90 consecutive days shall not exceed 1.5% of the total number of shares of the company, that is, no more than 54495990 shares; Baotou Iron and Steel (Group) Co., Ltd. has reduced its shareholdings by no more than 90826650 shares in two ways, and no more than 2.5% of the total shares of the company.
The share price of Northern rare Earths has continued to rise since early July, hitting a high of 51.46 yuan per share in early August, before falling back to the latest closing price of 45.17 yuan per share, still double the share price in early July. At present, the market value of rare earths in the north has reached 164.1 billion yuan. According to the recent share price, the market value of the reduced shares of Baotou Iron and Steel Group is about 4.1 billion yuan. At present, Baotou Iron and Steel Group holds a total of 1.414 billion shares of northern rare earths, accounting for 38.92%, with a market value of 63.9 billion yuan according to the latest stock price.
