GNMI closes $223M deal for control of China dye maker Jihua Group
What's the deal? Global New Material International Holdings (GNMI)Dealroom has a profile for this one. Try Dealroom → has completed its acquisition of a roughly 29.89% controlling stake in Zhejiang Jihua GroupDealroom has a profile for this one. Try Dealroom → for US$205.6M. The Hong Kong-listed surface materials company registered the share transfer on September 29, 2026, with board reorganisation at Jihua to follow.
Why now? GNMI signed the agreement on February 6, 2026, and closed about eight months later after clearing regulators in both jurisdictions. The company calls it one of the smoother recent cases of a Hong Kong-listed firm taking control of an A-share company.
What's the target? Jihua is a leading player in China's disperse dye segment and runs the world's third-largest dye production base, with full fine-chemicals-chain capacity and self-sufficiency in disperse dyes, reactive dyes, and the key intermediate H-acid. It has also expanded into water-based coatings, polyurethane foam, and pharmaceuticals, winning a drug registration certificate for a Rivastigmine Transdermal Patch in June 2025.
By the numbers: As at June 30, 2026, Jihua's liability-to-asset ratio was 11.15%, with current assets of US$429.6M and ample cash. It holds 119 patents and owns more than 710,000m² of production bases and industrial land across the Yangtze River Delta.
What's the endgame? The deal follows GNMI's earlier acquisitions of CQVDealroom has a profile for this one. Try Dealroom → and SUSONITYDealroom has a profile for this one. Try Dealroom →, extending its product, technology, and geographic reach. It gives the group a "Hong Kong + A-share" dual-listing footprint spanning both markets.
The signal: Cross-border control deals linking Hong Kong and mainland listings remain rare and complex. GNMI's clean close points to a path for Hong Kong-listed firms to consolidate A-share assets and build scale across China's chemicals and materials sector.
Read more: portal.sina.com.hk
Image credit: Rich Tea
