(Yicai Global) May 6 -- Shares in Suzhou TA&A Ultra Clean Technology jumped 6.6 percent today after it revealed a subsidiary would lower its planned investment in Australia’s AVZ Minerals in order to skip past regulatory hurdles and complete the deal as soon as possible.

TA&A stock [SHE:300390] closed at CNY11.34 (USD1.60) on the news today.

Tianyi Lithium Industry will reduce its investment in listed mining firm AVZ to AUD14.1 million (USD9.1 million) from AUD10.7 million, TA&A said in a statement yesterday, lowering the size of the stake it will acquire to 9 percent from 12 percent and sacrificing the chance to become its largest shareholder. Tianyi Lithium will also give up director nomination rights to facilitate the transaction.

Sichuan-based Tianyi Lithium, which counts battery giant Contemporary Amperex Technology among its largest shareholders, agreed to buy the 12 percent stake in November. The Australian Foreign Investment Review Board needs to greenlight the deal because it involves buying more than 10 percent of equity, but no progress has been made in the past half year.

The buyer withdrew its application to the FIRB and began talks with loss-making AVZ, an exploration firm focused on lithium, tin and gold in Africa, to invest using other methods, TA&A said last week, adding that it expected the FIRB would not approve the original deal.

Editor: James Boynton