Hubei Aviation Precision Machinery Technology (002013), a maker of aircraft seats and seat adjustment mechanisms, plans to acquire a 49 percent interest in Wuhan Aviation Precision Technology for $5.2 million from the latter's existing foreign investor, CRH, reports China Securities Journal, citing a company filing.
Upon the completion of the proposed transaction, Aviation Precision Technology will fully obtain the entire equity of Wuhan Aviation Precision Technology.
Wuhan Aviation Precision Technology, founded in 2009, produces precision components for automobile seats, automobile doors, engines and gear boxes. It makes more than 100 precision components.
The company returned to profit in 2011 after a two-year period of losses, with net profit of 1.31 million yuan on revenue of 35.07 million yuan.
Shares of Aviation Precision Technology rose 0.27 percent to trade at 18.91 yuan per share at 10:02 today.