Xinjiang Baodi Mining (SH:601121) Chang Jiang Shang Bao·2025-06-23 00:48Core Viewpoint - Baodi Mining (601121.SH) is expanding its iron ore industry footprint by acquiring 87% of Xinjiang Congling Energy Co., Ltd. for a total consideration of 685 million yuan, which includes 89.375 million yuan in cash and approximately 596 million yuan in shares [1][2]. Group 1: Acquisition Details - The acquisition will allow Baodi Mining to fully control Congling Energy, which specializes in iron ore mining, processing, and sales, aligning with Baodi's core business [1][2]. - Post-acquisition, Baodi Mining's iron ore resource volume will increase to approximately 460 million tons, representing a growth of about 21.75% in reserves [1][3]. Group 2: Financial Performance - Congling Energy has shown strong financial performance, with net profits of 31.44 million yuan, 42.78 million yuan, and 84.92 million yuan from 2022 to 2024, indicating steady growth [3]. - Baodi Mining's total assets reached 6.583 billion yuan as of March 2025, more than doubling from 3.264 billion yuan at the end of 2021 [4][5]. Group 3: Strategic Expansion - Baodi Mining has been actively acquiring other assets to enhance its resource reserves, including the successful acquisition of the Hasi Yatu polymetallic mine for 350 million yuan prior to its IPO [5]. - The company is also working on integrated development projects to boost production capacity, with expected annual output of 4.9813 million tons of iron concentrate from the Beizhan Mining project [5].