Zangge Mining (SHE:000408) plans to acquire a potash producer based in the Republic of Congo for a consideration of $171 million, according to a Shenzhen bourse filing on Friday.
The Chinese mining company will execute the takeover through a holding company that it will establish in Singapore, Zangge United Resources. It will acquire the stake from 12 shareholders.
Kanga Potash's core assets include the Kanga potash greenfield project in Congo. It also holds the Kanga mining license and the Loango exploration license through its subsidiaries.
The company's shares rose more than 1% during the morning trade.