Huayi Group Moves Fast with 6.1 Billion Yuan Acquisition to Strengthen Fluorochemicals Portfolio

On May 7, Huayi Group announced a significant strategic move: the cash acquisition of a 60% equity stake in San Ai Fu for 4.09 billion yuan (approximately 611 million USD). This transaction, still subject to approval from relevant state-owned asset regulators, aims to further Huayi’s footprint in the high-value fluorochemicals segment.

San Ai Fu, long regarded as a key player in China’s fluorochemicals sector, boasts a comprehensive production chain for organic fluorine chemicals, with strong technical foundations and robust R&D capacity. The company’s portfolio includes high-performance fluorinated polymers like PVDF, PTFE, and FKM, as well as next-generation refrigerants such as HFO-1234yf and HFO-1336, and specialized fluorinated chemicals like fluoroepoxides and electronic gases.

With production sites spread across Jiangsu, Inner Mongolia, and Fujian, San Ai Fu has built a diversified and scalable manufacturing base to meet the surging demands of downstream sectors including new energy, aerospace, and electronics.

By securing a majority stake in this industry leader, Huayi Group aims to accelerate its expansion in advanced materials and specialty chemicals, aligning with its long-term industrial transformation goals. The deal also represents a consolidation of intra-group assets, as San Ai Fu was previously partially owned by another Huayi-related entity.

This acquisition not only reinforces Huayi’s commitment to technological advancement and strategic growth, but also reflects a broader trend of vertical integration and resource optimization among China’s leading chemical enterprises.