(Yicai Global) Aug. 11 -- China National Nuclear Power Co. [SHA:601985] will collaborate with Jiangnan Shipyard Group Co. and Shanghai Electric Group Co. [SHA:601727, HKG:2727] to set up a joint venture to develop nuclear-powered ships.
The trio will set up the tentatively named CNNP Marine Nuclear Power Development Ltd. to develop military and civilian integration with the nuclear power industry, China National Nuclear said on Aug. 10. It also hopes the venture will push sustainable nuclear energy and industrial marine propulsion in the country, and encourage cross-industry collaboration in line with the government's Belt and Road Initiative and plans to make China a major maritime power.
The joint venture will be set up with registered capital of CNY1 billion (USD150 million), with CNNP contributing CNY510 million for a 51 percent stake and its affiliated Zhejiang Zheneng Electric Power Co. [SHA:600023], which holds shares in a number of domestic nuclear companies, chipping in for a 9 percent stake.
Jiangnan Shipyard and Shanghai Electric will both cough up CNY100 million to take a 10 percent stake each and state-owned Shanghai Guosheng Group Co. will hold the remaining 20 percent.