GAC Group announced that its A-share stock will remain suspended from trading as it continues to plan a major asset restructuring. The company is currently negotiating the acquisition of a stake in a joint venture held by FAW Group through a share issuance.
Under the proposed deal, FAW Group is expected to become the second-largest shareholder of GAC Group with strategic influence. The transaction is classified as a major asset restructuring and a related-party transaction, though it will not change the actual control of GAC.
As of September 18, the parties have not yet signed a formal agreement. The plan remains in the preliminary stages and requires approval from the board of directors, shareholders, and relevant regulatory authorities to proceed.
GAC Group initially disclosed the signing of a letter of intent with FAW Group on September 14. The company maintains the suspension to ensure fair information disclosure and to prevent abnormal stock price fluctuations while the deal is being finalized.
