Operating income Founder Shanghai Meishan Group Parent organization Baosteel | Revenue CN¥26.0 billion (2014) Profit CN¥7.00 million (2014) Founded 1969 | |
Type company limited by shares,subsidiary Industry Iron and steel manufacturing | ||
Shanghai Meishan Iron and Steel Co., Ltd., known as Meishan Iron and Steel, or Meisteel or Meigang (Chinese: 梅钢) is a second-tier subsidiary of Baosteel Group and a first-tier subsidiary of listed company Baoshan Iron and Steel Co., Ltd.. The company was based in Nanjing.
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In 2004, Baosteel Group decided to inject Shanghai Meishan Iron and Steel Co., Ltd. to fellow subsidiary Baoshan Iron and Steel Co., Ltd., which is also a listed company.
Meishan Iron & Steel
The steel plant at Meishan Iron Mine, in Xishan Qiao Subdistrict, Nanjing was founded in 1969 by the Shanghai Government. The mine became a quasi-exclave of Shanghai. In 1984, the steel plant and related industries became Shanghai Meishan Metallurgical Corporation (Chinese: 上海梅山冶金公司). The company was registered in the Government of Nanjing in 1990. In 1994, a new holding company was formed for Meishan Group, which the mine was spin-off from Meishan Metallurgical Corporation in 1995, while the iron and steel company became Shanghai Meishan Iron and Steel Co., Ltd. (Chinese: 梅山钢铁有限公司). The company became a subsidiary of Baosteel Group in 1998. Meishan Iron and Steel was listed as one of the 512 most important state-owned enterprises in 1997, in the iron and steel industry segment that consist of 47 companies.
The company was re-incorporated in 2001 (Chinese: 上海梅山钢铁股份有限公司) by debt-to-equity swap. In 2004, Baosteel Group floated Meishan Iron & Steel at Shanghai Stock Exchange by selling 74.01% shares of Meishan Iron & Steel to its listed subsidiary Baoshan Iron and Steel, for a valuation of CN¥5.469 billion (CN¥7.389 billion total value times 74.01% shares). The deal was completed in 2005.
In 2008, Meishan Iron & Steel signed a contract with Praxair to build two more new air separation plants in Meishan.
Former Shanghai Meishan Group
"Shanghai Meishan (Group) Co., Ltd." (Chinese: 上海梅山(集团)有限公司) was the holding company of Meishan Iron & Steel and other subsidiaries. It was founded in 1994. Meishan Group merged with Baosteel Group in 1998. The assets of Meishan Group were absorbed by "Baosteel Group Shanghai Meishan Co., Ltd." (Chinese: 宝钢集团上海梅山有限公司) some time later. After the partial demerger in 2004, Baosteel Group Shanghai Meishan Ltd. still owned Shanghai Meishan Mining (Chinese: 上海梅山矿业有限公司, incorporated in 1995) the mining company in the unlisted portion of the conglomerate. The company became part of "Nanjing Meishan Metallurgical Development" (Chinese: 南京梅山冶金发展有限公司), a subsidiary of "Baosteel Group Shanghai Meishan Co., Ltd." in 2010. As at 31 December 2015, "Baosteel Group Shanghai Meishan Co., Ltd." had net assets of just CN¥1.366 billion, much smaller in size than its sister company Meishan Iron and Steel.