Baosteel Group Guangdong Shaoguan Iron and Steel Co., Ltd. known as Shaoguan Iron and Steel or SGIS or Shaogang () or Shaosteel (formerly Shaoguan Iron and Steel Group) is a Chinese steel maker.

The company is a joint venture of central government-owned iron and steel conglomerate China Baowu Steel Group (51%; formerly known as Baosteel Group) and (49%).

Structure The company was registered in Guangzhou, Guangdong, but the general office is located in Maba, Qujiang District, Shaoguan, Guangdong. SGIS Group is the parent company of SGIS Songshan Co., Ltd. () for 53.37% stake, which most of the group assets and revenue came from.

History The steel plant in Shaogang, Guangdong was established in 1966 (as ). In 1989 the plant was marketized as a company and was subsequently renamed into Guangdong Shaoguan Iron and Steel Group Corporation () in December 1993. In December 1996, it became Guangdong Shaoguan Iron and Steel Group Co., Ltd. () Shaoguan Iron and Steel was one of the most 512 important state-owned enterprises in 1997. In early 2000, the enterprise was among 120 companies selected in a pilot project aimed at rapidly improving their international competitiveness.

Subsidiaries In 1997, Shaoguan Iron and Steel Group was split into 5 main subsidiaries: SGIS Songshan (, incorporated on 29 April 1997), "Chung Shan Investment & Development" (, "Chung Shan Development" in short),Chung Shan Investment & Development Co., Ltd. was incorporated on 4 August 1994 in Hong Kong, Chung Shan was Cantonese translation of Songshan "Shaoguan Iron and Steel Co., Ltd.", and two other subsidiaries. In the same year the shares of SGIS Songshan were floated at the Shenzhen Stock Exchange. The initial public offering price was per share; SGIS Group incorporated the listed company for only, by injecting a net assets of for 240 million shares.

In 2008, an agreement was signed with Baosteel Group that 100% shares of Shaoguan Iron and Steel Group and would be injected into "Guangdong Iron and Steel Group" as share capital. As a result, the State-owned Assets Supervision and Administration Commissions (SASACs) of Guangdong Province and Guangzhou City respectively, would come to own a combined 20% stake in Guangdong Iron and Steel Group. However, the deal collapsed.

In 2011, a 51% stake of Shaoguan Iron and Steel Group was transferred from SASAC of Guangdong Province to Baosteel Group, a steel conglomerate and supervised by the central government's SASAC.

In September 2012, the remaining 49% were transferred to a wholly owned subsidiary of Guangdong SASAC, namely Guangdong Hengjian Investment Holding (). In November 2012 Shaoguan Iron and Steel Group was recapitalized for .

In December 2012, the company was once more renamed into Baosteel Group Guangdong Shaoguan Iron and Steel Co., Ltd. ().

In June 2013 SGIS Group subscribed capital increase of SGIS Songshan for each (750 million shares). In March 2015 SGIS Group sold 2.976% shares (72 million shares) of SGIS Songshan for a weighed-average price of . In September 2015 the group bought back 0.32% shares (approx. 7.7 million in number) for a weighed-average of each.

On 28 September 2016, Shaoguan Iron and Steel Group was recapitalized again for . It was planned to buy back some assets from the listed subsidiary for . SGIS Songshan also sold some assets to an associate company: Baosteel Special Steel Shaoguan for (SGIS Songshan owned 49% of Baosteel Special Steel Shaoguan indirectly, the rest was owned by China Baowu Steel Group via Baosteel Special Steel).

Financial data +in consolidated financial statement (in ) Shaoguan Iron and Steel Group SGIS SongshanYear Revenue Profit Total assets Equity no. of Songshan shares % Revenue Profit Profit to group Total assets Equity Equity to group Net asset per shares 1997 (restated) 240 million 75.0% 2.251 billion 170 million 128 million 1.373 billion 1.135 billion 852 million 3.55 1998 (restated) 312 million 2.671 billion 176 million 132 million 2.490 billion 1.907 billion 1.430 billion 4.56 1999 (restated) 312 million 3.048 billion 164 million 123 million 2.412 billion 1.988 billion 1.491 billion 4.78 2000 (restated) 69.77% 3.346 billion 204 million 143 million 2.967 billion 2.250 billion 1.570 billion 5.03 2001 (restated) 3.926 billion 259 million 180 million 3.888 billion 2.559 billion 1.785 billion 5.72 2002 (restated) 4.431 billion 349 million 244 million 5.274 billion 2.729 billion 1.904 billion 6.10 2003 468 million 55.83% 7.161 billion 982 million 548 million 8.049 billion 4.319 billion 2.411 billion 5.15 2004 468 million 10.329 billion 948 million 529 million 11.010 billion 5.016 billion 2.800 billion 5.98 2005 (restated) 606 million 45.15% 10.799 billion 147 million 66 million 12.377 billion 4.880 billion 2.203 billion 3.64 2006 (restated) 606 million 12.516 billion 424 million 191 million 12.373 billion 5.326 billion 2.364 billion 3.90 2007 36.27% 14.961 billion 827 million 300 million 16.838 billion 7.406 billion 2.686 billion 4.44 2008 19.108 billion 17.281 billion 5.704 billion 2.069 billion 3.42 2009 13.350 billion 93 million 34 million 18.341 billion 5.797 billion 2.103 billion 3.47 2010 18.836 billion 21 million 8 million 23.099 billion 5.817 billion 2.110 billion 3.47 20112011, 2012, 2013 Consolidated Annual Reports, 24.664 billion 27.127 billion 2.154 billion 22.874 billion 24.361 billion 4.679 billion 1.697 billion 2.80 2012 20.822 billion 23.407 billion 3.444 billion 19.260 billion 20.488 billion 2.730 billion 990 million 1.64 2013 (restated) 20.574 billion 24.574 billion 3.360 billion 1.356 billion 56.02% 19.171 billion 101 million 57 million 21.647 billion 4.347 billion 2.435 billion 1.80 2014 20.958 billion 21.418 billion 2.674 billion 1.356 billion 19.497 billion 18.570 billion 2.937 billion 1.645 billion 1.21 2015 12.030 billion 19.076 billion 1.463 billion 1.291 billion 53.37% 11.145 billion 16.560 billion 355 million 189 million 0.15 2016 15.175 billion 54 million 19.117 billion 4.822 billion

Shareholders State-owned Assets Supervision and Administration Commission of the State Council China Baowu Steel Group (51%) State-owned Assets Supervision and Administration Commission of Guangdong Provincial People's Government Hengjian Holding (49%)

Subsidiaries Chung Shan Investment & Development (, 100%) SGIS Songshan (53.37%) Shaoguan Iron and Steel (70.00% directly; 22.15% via Chung Shan Investment & Development and 7.85% by Guangdong Assets Management (BVI) No.4 Limited)

Footnotes

References

External links Official website of SGIS Songshan