The state yard group wants to injectsouthern Chinese shipyards into Hong Kong-listed unit Guangzhou Shipyard International(GSI), whose shares have been suspended since April while it pursues the move.

GSI said on Thursday CSSC was required toconsult the state-owned assets supervision and administration authority and thenational defence technology administration authority over the proposal.

It said the matter was "still underdiscussion, and there are still uncertainties."