Shenghe Resources to Sell 51% Stakes in Four Rare Earth Units for Up to 1.81B Yuan

This is a consolidation move in China's rare earth smelting and separation sector, shifting majority control of four Shenghe units to China Rare Earth Group Industrial Development. The significance lies in the accounting and earnings impact: the units contributed over a third of Shenghe's net profit in the first half of 2026, so deconsolidation and equity-method treatment will materially reshape Shenghe's reported results. Whether the transfer price lands at the low or high end of the estimated range, and how Shenghe redeploys proceeds, are the open questions worth watching.