# Huaigang Special Steel

Jiangsu Shagang Group Huaigang Special Steel Co., Ltd. (known as Huaigang or Huaisteel) is a Chinese steel manufacturer based in Huai'an, Jiangsu Province. It was a subsidiary of privately held company Shagang Group via its publicly traded subsidiary Shagang Company (SZSE: 002075) for 63.79% stake, from 2010 to 2015. As at 31 December 2013, Huaigang accounted for 99.9% revenue and 97% assets of Shagang Company. However, as at 31 December 2015, Shagang Group owned just 19.88% stake in Shagang Company; in turn Shagang Company owned 63.79% stake of Huaigang. Shagang Group sold 55.12% stake of Shagang Company in 2015, for about CN¥4.6 billion (or CN¥5.29 per share).
As of 4 July 2017, Shagang Company is a constituent of SZSE 200 Index (mid cap index).

## History

Huaigang Group Co., Ltd. (Chinese: 江苏淮钢集团有限公司) was incorporated on 11 December 1996 as a subsidiary of the Economic Commission of Huai'an (the city was known as Huaiyin at that time) for 91.97% stake. In 2000, Nanjing Iron and Steel Group acquired the controlling stake (93.49%). It was recapitalized in 2003, making the stake held by Nanjing Iron and Steel Group was diluted to 26.15%. Moreover, private investors were introduced. In 2005, the 26.15% stake was returned to Huai'an Municipal People's Government from Nanjing Iron and Steel Group. In June 2006, privately held company Shagang Group acquired 64.40% stake of Huaigang from other private investors. The stake was injected to a publicly traded company Gaoxin Zhangtong as a reverse IPO in 2010 (now known as Shagang Company). In December 2006 Huai'an Municipal Government also sold their stake to Jiangyin Wande (Chinese: 江阴万德). The shareholder of Jiangyin Wande, Li Xinren (Chinese: 李新仁), also owned the shares of Shagang Group.
In 2011 the company was re-incorporated as a company limited by shares, issuing 1.431 billion shares with par value CN¥1 each.

## Joint Venture

Huaigang formed a joint venture (Chinese: 江苏天淮钢管) with Tianjin Pipe Corporation. Huaigang owned 40% stake. In 2015 Huaigang sold the stake to Zhangjiagang Xiangbo (Chinese: 张家港翔博贸易) for CN¥250 million.

## Financial data

in a consolidated financial statements (in CN¥) :
| Shagang Company | Shagang Company | Shagang Company | Shagang Company | Shagang Company | Shagang Company | Huaigang Special Steel | Huaigang Special Steel | Huaigang Special Steel | Huaigang Special Steel | Huaigang Special Steel | Huaigang Special Steel |
| Year | Revenue | Profit | Assets | Equity | shares % | Revenue | Profit | Profit to parent | Assets | Equity | Equity to parent |
| 2007 | | | | | | 8.994 billion | 563 million | | 13.990 billion | 1.774 billion | |
| 2008 | | | | | | 15.347 billion | 104 million | | 16.398 billion | 2.489 billion | |
| 2009 | | | | | | 12.619 billion | 110 million | | 15.060 billion | 2.596 billion | |
| 2010 | 12.537 billion | 358 million | 11.555 billion | 1.994 billion | 63.79% | 12.537 billion | 561 million | 358 million | 10.724 billion | 3.210 billion | 2.048 billion |
| 2011 | 15.001 billion | 278 million | 10.144 billion | 2.290 billion | 63.79% | 14.934 billion | 459 million | 293 million | 10.100 billion | 3.270 billion | 2.086 billion |
| 2012 | 12.148 billion | 23 million | 8.153 billion | 2.319 billion | 63.79% | 12.143 billion | 22 million | 14 million | 8.058 billion | 3.194 billion | 2.037 billion |
| 2013 | 10.787 billion | 28 million | 8.382 billion | 2.351 billion | 63.79% | 10.781 billion | 27 million | 17 million | 8.131 billion | 3.015 billion | 1.923 billion |
| 2014 | 10.308 billion | 35 million | 7.137 billion | 2.389 billion | 63.79% | | | | | | |
| 2015 | 7.357 billion | (81 million) | 6.550 billion | 2.307 billion | 63.79% | | | | | | |