The number of China's centrally administered State-owned enterprises has been reduced to 96 after the central government approved the restructure plan between Beijing-headquartered China Poly Group Corp and China Silk Corp.
After the restructure, China Silk Corp, the SOE previously managed by the State-owned Assets Supervision and Administration Commission of the State Council, will become a subsidiary of China Poly Group Corp, the SASAC said in an online statement.
This is the second move regarding the merger of central SOEs this year, after China State Shipbuilding Corp and China Shipbuilding Industry Corp, the country's two biggest State-owned shipbuilders by production capacity, announced last week that they were planning a strategic restructuring.
China Poly was founded in 1992. The group to date has over 90,000 employees and runs businesses in a number of areas including international trade, real estate development, manufacturing and engineering services, culture and arts business, civilian explosive materials, and blasting service and finance services. Its business covers over 100 countries and regions worldwide and over 100 cities throughout China.
Established in 1946, China Silk is a large company with businesses engaged in silk, petrochemicals, fashion magazine, new materials, and integrated trade and other fields. It currently has 26 subsidiaries, four overseas trade branches and more than 2,000 employees. It doesn't have listed assets in the stock market.