- Qingdao Port has scrapped its planned acquisition of two Rizhao oil terminal companies.
- The decision follows Rizhao Shihua’s inclusion on the US SDN sanctions list.
- The company says the move will not affect its finances or operations.
Qingdao Port International Co., Ltd. has officially terminated its proposed acquisition of equity stakes in Rizhao Port Oil Terminal Co., Ltd. and Rizhao Shihua Crude Oil Terminal Co., Ltd.
The decision comes after Rizhao Shihua was added to the US Specially Designated Nationals (SDN) List, raising compliance and operational risks that Qingdao Port said could harm its interests if the transaction proceeded.
No Financial Impact Expected
According to the company, ending the deal will not result in any default liabilities, nor will it have a material impact on Qingdao Port’s financial position, business operations, or cash flow.
The company emphasised that the termination is a precautionary move aimed at protecting long-term shareholder value amid growing geopolitical and sanctions-related uncertainty.
Market View Remains Positive
Despite the announcement, analyst sentiment on Qingdao Port International (HK:06198) remains constructive.
The latest analyst rating stands at Buy, with a price target of HK$8.50.
The company currently has a market capitalisation of HK$59.45 billion, with an average daily trading volume of around 2.9 million shares.
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Source: Tip Ranks
