Xinjiang Autonomous Region-based Chinese steelmaker Bayi Iron and Steel Group (Bayi Steel) has announced that it has decided to terminate its major assets reorganization plan. According to the plan, Bayi Steel was going to sell its steel business assets to Baosteel and was going to buy certain industrial gas assets of Baosteel subsidiaries by issuing shares or by paying in cash. In addition, Bayi Steel would have acquired a minority interest in some Baosteel subsidiaries.
Bayi Steel stated that it had failed to reach an agreement with its creditors and had still not finalized a specific reorganization plan. Due to the difficulties involved, Bayi steel has decided to terminate its assets reorganization plan.