ChinaRongsheng Heavy Industry Group announced that the asset evaluation of the affiliated Jiangsu Rongsheng has gained a stage achievement. The related parties has reached consensus on potential recombination scope and assessment standard which will be regarded as the recombination basement.

Repayment duration of Jiangsu Rongsheng will be extended to the end of 2015 to release the funding liquidity pressure.

The stocks of the company was suspended from trading since Aug.29. It has applies for resuming trade on Oct.30.

In 2013, Rongsheng was announced that its working capital under huge pressure.Factors causing increased pressure on its working capital include1) weakening demand in the shipbuilding market and low prices for new orders,2) banks tightening credit facilities to shipbuilders, 3) shipowners delaying ordefaulting on payments to shipbuilders. As a result, Rongsheng has tightened cash outflows by delaying payments to its suppliers and workers.

In the first nine months of 2014, Rongsheng's Jiangsu unit continues to bleed.Struggling Chinese shipyard group China Rongsheng Heavy Industries Group continues to be stuck in the mire, announcing that its majority-owned subsidiary Jiangsu Rongsheng Heavy Industries posted net loss of about RMB3.36bn ($548.6m) for the nine months ended 30 September 2014.