Pilkington Italia SpA & Shanghai Yaohua Pilkington Glass Co. Ltd. are to set up a 50-50 joint venture. According to a statement it filed with the Shanghai Stock Exchange, Shanghai Yaohua will sell 25% of its plant in Changshu city for US$2.46M to Pilkington Italia. Glasslink, its wholly-owned unit incorporated in Hong Kong, will also sell a 25% stake in the plant for US$1.81M to Pilkington Italia, a subsidiary of the UK's Pilkington Plc. The two firms will then each hold 50% of the Changshu glassmaking plant, which will be the new joint venture. Although the deal has been approved by the Shanghai Yaohua board of directors, it is still subject to government approval, the Chinese firm said. The new venture will have a registered capital of US$48.33M, said Shanghai Yaohua, and will borrow the rest of the total planned investment of US$96.68M.
