AgroPages-Lier Chemical to invest 440 million yuan to establish a joint venture with Corteva Agriscience Shanghai-Agricultural news

On January 13, 2020，Lier Chemical announced that the company signed a "Shareholders Agreement" with Corteva Agriscience (Shanghai) Co.,Ltd. （Corteva Agriscience Shanghai）to jointly set up a subsidiary. The total registered capital is 550 million yuan, of which, Lier Chemical contributes 440 million yuan with 80% equity of the joint venture, Corteva Agriscience Shanghai contributes 110 million yuan with 20% equity of the joint venture.

Basic information of the proposed subsidiary:

Company Name: undetermined

Registered address: Sichuan, China

Registered capital: RMB 550 million

Business scope: R & D, production and sales of pesticide intermediates, chemical raw materials and chemical products.

Lier Chemical said the establishment of the joint venture subsidiary will deepen the cooperation between the two companies, which will help the company expand its business scale and enhance the market competitiveness and comprehensive strength. Also，This cooperation will give full play to the advantages of both sides in terms of resources, market, technology, production and other aspects, which is in line with the company's development strategy. At the same time, the amount of the investment does not have a high proportion of the company's net assets, and will not have a significant adverse impact on the company's financial operating conditions. It has no damage to the interests of the company and all shareholders, especially small and medium shareholders. The production of projects in joint venture subsidiary will exert a positive impact on the company's future finance and business performance.