AsianFin -- Shares of Semiconductor Manufacturing International Corp. (SMIC) tumbled more than 11% when trading resumed on September 9, after the company unveiled a steeply discounted share issuance plan.

The Chinese chipmaker announced late Sunday that it plans to issue new shares at 74.2 yuan per share to acquire the remaining 49% stake in its majority-owned subsidiary, SMIC Beijing. The offer price represents a 35% discount to SMIC’s closing price before the trading suspension.

Upon completion of the deal, SMIC will hold 100% ownership of SMIC Beijing, consolidating full control of the key unit.