Furui equipment will establish a joint venture with Johnston Boiler Co., Ltd. of the United States to produce equipment such as tanks, aerated helium and gas filling stations for the South and North American LNG market. Both parties expect the joint venture company’s sales to reach US$500 million within five years.
On March 10, 2014, Furuizhuang (300228) announced that the company and the United States Johnston Boiler Co., Ltd. agreed to jointly fund the establishment of a joint venture, the joint venture company initially invested 15 million US dollars, the two sides each holding 50% of the equity joint venture company. The current foreign investment is currently in the planning stage. At present, only the “MOU on the Joint Venture Agreement†has been signed, and the follow-up approval process has not yet been carried out.
The scope of business of the joint venture company is the design, manufacture, sales and service of storage tanks, aerated helium and gas filling stations. The registered capital has not yet been determined. The company and Johnston each hold 50% of the equity of the joint venture company.
The company stated that this joint venture company established by foreign investment is an important development for the company's LNG equipment overseas market, and has played an active role in promoting the company's products in the open market in North and South America.
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