Farasis Energy Co., Ltd. announced on April 15, 2025, that its controlling shareholder has changed. Guangzhou Industrial Investment Holding Group (GIIHG), a Chinese state-owned enterprise directly controlled by the People’s Government of Guangzhou, has acquired a majority stake in the company.
Under the terms of the share transfer agreement, GIIHG purchased approximately 5% of Farasis Energy’s shares from the company’s previous major shareholders, including Farasis Energy (Asia Pacific) Limited and its affiliate Ganzhou Fuchuang. The total value of the transaction was approximately RMB 972 million, with the share price set at RMB 15.90.
As a result of the transfer, GIIHG and its affiliates now hold approximately 16.16% of Farasis Energy’s voting shares, making GIIHG the largest shareholder. The previous major shareholders, including Farasis Energy (Asia Pacific) Limited, now hold 11.15% of the voting shares after waiving 5.34% of their voting rights.
Since 2022, Guangzhou state-owned enterprises have shown increasing interest in Farasis Energy. In November 2022, a consortium led by Guangzhou Industrial Investment Holding Group (GIIHG), alongside Guangzhou Industrial Investment Holding Group’s affiliate Guangzhou Industry Investment Holdings Group Co., Ltd. and Guangzhou Chuangxing New Energy Investment Partnership (Limited Partnership), invested a total of RMB 3.318 billion in a private placement of Farasis Energy. This move resulted in GIIHG becoming the third-largest shareholder of Farasis Energy.
In July 2023, GIIHG began plans to acquire control of Farasis Energy through a share transfer but paused these efforts just four months later. Subsequently, the parties involved explored alternative routes, such as a targeted public offering, to solidify GIIHG’s position as the potential controlling shareholder. A year later, in December 2024, GIIHG’s subsidiary, Guangzhou Industrial Control Capital Management Co., Ltd., initiated plans to acquire up to 2% of Farasis Energy’s shares from Shenzhen Anyan Investment Partnership (Limited Partnership), the company’s second-largest shareholder.
Farasis Energy, founded in 2009, focuses on the research, development, and production of power batteries for electric vehicles and energy storage systems. The company was listed on the Shanghai Stock Exchange’s STAR Market in 2020.
This shift in control follows a period of financial challenges for Farasis Energy, which experienced cumulative net losses of approximately RMB 4.4 billion between 2020 and 2024. The change in ownership is part of a broader strategy to stabilize the company’s financial position.