The group has a market value of RMB2.55bn ($401m).
The slowing global economy has put paid to Rongsheng's plans to diversify into other segments, as it appears even those are not doing well now. The company, which has already issued a first-half profit warning, now says it wants to focus on its main shipbuilding businesses and conserve cash ahead of more uncertain conditions ahead in the shipping market.
The deal was meant to position Rongsheng as a diversified heavy-industry conglomerate. It was thought at the time that it could leverage on the growth in construction machinery demand from China's building boom. But the bottom has fallen out of the market and last year, annual unit sales of construction machinery rose just 5%.
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