History
Prosperity Group was founded by David Wong (Chairman & CEO) in 1980, trading raw and building materials. The Group began specialising in the trading of cement and iron ore in 1991.
2006
Company IPO on AIM in May 2006 raising £115 million, using part of the proceeds to acquire 100% interest in YDM and invest in a 25% interest in PCC.
Successfully diversified the Company’s source of iron ore, sourcing from Thailand in addition to Brazil, Australia and South Africa and achieving a total year tonnage of 3.2 million tonnes for fiscal 2006/7.
Signed an S&P Agreement to acquire a controlling interest in Anhui Chaodong Cement Company Limited (“ACC”), a company listed on the Shanghai Stock Exchange.
2007
Obtained all the regulatory approvals and acquired a 40% interest in ACC in June 2007. Following a share reform in July 2007, Prosperity has a 33.06% controlling interest in ACC. Prosperity then had a gross tonnage (including the equity interests of partners) of 16.6 million tonnes pa with a 4 million tonnes pa expansion plan at ACC that would bring it up to more than 20 million tonnes by the end of 2011.
Prosperity's iron ore trading business shipped 3.6 million tonnes of iron ore in fiscal 2007/8.
2008
Announced 2 acquisitions of existing cement manufacturing plants and 2 investments in greenfield projects that would increase the Company's gross saleable cement production capacity (including the equity interests of partners) to 31 million tonnes by the end of 2011.
On 9 May 2008 Prosperity issued US$100 million Notes with accompanying Warrants to help to finance the four expansion projects mentioned above.
On 19 April 2008 the Company signed a Memorandum of Understanding with the local government to invest in a greenfield project in Chongqing Municipal City that would bring the gross capacity (including the equity interests of partners) to 33 million tonnes by the end of 2011.
In August 2008, construction commensed on the first 2 million tonnes / year clinker production line at the Liaoning Project.
On 28 December 2008, the new 2 million tonnes / year clinker production line at ACC was successfully commissioned and has subsequently been running smoothly.
Prosperity's iron ore trading business shipped 4.4 million tonnes of iron ore in fiscal 2008/9.
2009
In May 2009, construction commenced on the first 2 million tonnes / year clinker production line at the Chongqing Project.
In July 2009, Prosperity increased its investment in the Liaoning Project to a 75 per cent interest, up from 55 per cent interest.
On 21 December 2009, Prosperity announced that it had entered into a conditional sale and purchase agreement with TCC International Holdings Limited in relation to the sale of all Prosperity's cement assets, wit the exception of its 33.06% interest in ACC, for a consideration of HK$3,800 million (approximately GBP337 million) payable in cash.
2010
On 1 March 2010, at an Extraordinary General Meeting of the Company, the resolutions approving the disposal of the cement assets were passed.
On 30 April 2010, Prosperity and TCC International Holdings Limited completed the sale and purchase agreement for the sale of Prosperity's cement assets, with the exception of its 33.06% interest in ACC, for a consideration of HK$3,800 million (approximately GBP337 million) in cash.
On 21 May 2010, Prosperity announced that it had entered into a conditional sale and purchase agreement with its former partner in the Liaoning Project to acquire its 25% interest in the project. The new 2 million tonnes per annum cement and clinker production facilities were commissioned on 28 April 2010 and is expected to commence normal production in September 2010.
On 1 June 2010, Prosperity announced that it had entered into a number of conditional agreements for the acquisition of property interests in the PRC which, if completed, will result in real estate investment and development becoming a core business of the Company. Prosperity also announced that, in the ordinary course of business in its iron ore trading division, it had entered into an iron ore master off-take agreement with a related party of the Company for the purpose of purchasing iron ore from Malaysia.