SINGAPORE (June 21): Yangzijiang Shipbuilding's wholly-owned subsidiary, Jiangsu New Yangzi Shipbuilding, is acquiring a 10.6% equity interest in Suzhou Jiumei Fiber Glass (JFG) through the trading system of National Equities Exchange and Quotations (NEEQ) for RMB 60.0 million ($12.6 million).

Listed on China’s NEEQ, FJG specialises in the development and production of glass fibre reinforced plastics, one of the most widely used composites material in the shipbuilding industry.

The group says the acquisition provides a good opportunity to break into the upstream industry in order to better secure the supply of the shipbuilding materials and better control the costs of shipbuilding business.

Shares in Yangzijiang closed at 94 cents on Thursday.