APAR Industries to acquire 70% of China's Hebei Jinghuan Cable

Mergers & acquisitions
Lubricants

Blacklitt Research30 October 20262 min read

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APAR Industries (NSE: APARINDS) will acquire 70% of Hebei Jinghuan Cable Co. Ltd, a company incorporated in the People's Republic of China, through its wholly owned subsidiary Petroleum Specialities Pte Ltd. (PSPL), it said in a filing on 30 Oct 2026. The estimated purchase price is RMB 24.85 million.

What the target company does

The filing describes Hebei Jinghuan Cable Co. Ltd as a non-operating entity that will mainly operate in exporting overhead conductors. Its industry is manufacturing of overhead conductors for power transmission and power distribution networks.

Its turnover is printed as NIL for FY25 and FY24, and as N.A. for FY23. Upon acquisition, the target becomes a step-down wholly owned subsidiary of APAR Industries.

Why APAR Industries is buying into the target

The company says it intends to diversify its manufacturing presence for aluminium overhead conductors across geographies. The target will operate as a 100% exports focused enterprise.

A separate filing on 29 Oct 2026 reported approval for further investment in Petroleum Specialities Pte. Ltd., a wholly owned subsidiary of the company.

Payment in instalments and a later call option

The price is RMB 24.85 million, equivalent to 70% of the target's net asset value at the closing date, at a P/B of 1x. The target's total registered capital is RMB 35 million.

The first instalment of 30% of the purchase price is due within 7 business days of the closing date. The remaining 70% goes into an escrow account and is released only after the seller fulfils agreed conditions.

PSPL has a call option, but no obligation, to buy the remaining 30% from the selling shareholder after five years. The valuation will be set by a mutually appointed valuer under a prescribed formula.

What the acquisition means for APAR Industries' shareholders

The acquisition adds a 70% stake in an export-focused overhead conductor maker through a subsidiary, at an estimated RMB 24.85 million. The filing does not give the reason beyond diversification, the closing date, the name of the selling shareholder, or the effect on the company's results.

The next dated step is the first instalment, due within 7 business days of the closing date under the agreement signed on 30 Oct 2026.

At a glance

Item	Detail
Acquirer	Petroleum Specialities Pte Ltd. (PSPL), wholly owned subsidiary of APAR Industries Limited
Target	Hebei Jinghuan Cable Co. Ltd, incorporated under the laws of the People's Republic of China
Stake	70% of equity interests
Estimated purchase price	RMB 24.85 million as of the closing date
Total registered capital of target	RMB 35 million
Agreement	Equity Interest Transfer Agreement, 30 Oct 2026
Balance 30% stake	Call option, not an obligation, after 5 years
Target turnover	NIL for FY25 and FY24

Reference: Original filing (PDF)

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