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Glass Business News 

January 12, 2000

Pilkington buys Bigger Share in Chinese Float

SYP One of Most Successful Glass Companies is China

    Pilkington plc announced today that it has doubled its shareholding in Shanghai Yaohua Pilkington (SYP) from 8.35% to 16.7% at a cost of US$6m (£3.6m). As a result of this acquisition Pilkington will account for SYP in the future as an associate.

    Commenting on the purchase, Paolo Scaroni, Pilkington's Chief Executive, said, "This acquisition represents an important step in building Pilkington's presence in China and in South East Asia. SYP is probably the most successful glass company in China, using Pilkington float technology. Pilkington has been closely involved with its creation and operation for 10 years and I welcome the closer association that this increased shareholding represents."

    SYP operates two Pilkington-designed float plants in Shanghai. It offers the widest range of float products in China, as well as a complete range of high-quality processed glass products for which it enjoys the best reputation in the country. SYP was the only consistently profitable Chinese float glass factory in the severe glass market recession of 1997/98 and has paid a dividend to its shareholders every year since 1989. In 1993 it was the first Chinese joint venture company to make a public share listing in Shanghai.

source: Pilkington Press Release