Morgan Stanley-backed firm denies state-owned past
Nov. 17, 2014
WASHINGTON (AP) — A $5 billion Chinese chemical manufacturer backed by Morgan Stanley is disputing an Associated Press report that cited discrepancies between financial records and what the firm told investors.
The response to AP's reporting last week came from Tianhe (pronounced TYEN-huh) Chemicals Group Ltd. late Sunday. It said local government offices have agreed to change official records showing its predecessor was state-owned, one of the disclosures in the AP investigation. The issue is significant because shareholders may wonder whether Tianhe has a clean chain of ownership for its business.
Tianhe acknowledged that its own business registration filings — which AP cited — were out of date and urged shareholders to rely only on information that it distributes. It said it will announce new customer contracts soon.