Shanghai-listed CSIC Ltd, a unit of China Shipbuilding Industry Corp (CSIC), will transfer its 100% stake in two engine manfacturing subsidiaries to its parent for RMB589.1m ($90.1m), as part of the group’s assets restructuring.

The two engine manufacturing companies are based in Chongqing and Shaanxi respectively. The deal includes the consolidation of a 80% stake in another Qingdao-based engine technology firm into the Chongqing and Shaanxi engine firms, for a combined equity disposal to the parent group.

The assets restructuring followed CSIC Ltd warning of a massive loss of RMB2.5-2.8bn for 2015, compared to the profit of RMB2.28bn in 2014, due to the severe downturn in the shipbuilding industry.