August 11 -- Avic Heavy Machinery (600765.SH) announced that its private placement and restructuring plans were approved by the State-owned Assets Supervision and Administration Commission of the State Council (SASAC), reports yicai.com, citing a company filing.

Guiyang-based Avic will issue shares to Aviation Industry Corporation of China and other shareholders to fund the acquisition of a 100% stake in Guizhou Anji Precision Casting, worth 1.4 billion yuan.

Avic will reduce the issuance price to 15.31 yuan per share, and it will issue 94.51 million shares. Aviation Industry Corporation of China and Guizhou Aviation Industry Corporation (GAIC) will reduce the new share subscriptions, while Avic Huiyang Aviation Propeller and Tang Energy Hong Kong will increase subscriptions.

Avic’s major restructuring planmust be approved by its general shareholder meeting, the Ministry of Commerce and the China Securities Regulatory Commission (CSRC).