China's machinery maker Tengzhong will acquire US auto giant General Motors (GM.UL)' Hummer sport-utility vehicle brand, the two companies announced Friday.

Tengzhong intends to purchase Hummer through an investment entity, in which it will hold an 80 percent stake, a statement said.

Suolang Duoji, a private entrepreneur with holdings that include the Hong Kong-listed industrial chemical producer Lumena, will hold the remaining percent stake.

Financial terms of the agreement were not disclosed.

GM and little-known Tengzhong in early June signed a tentative agreement for the Chinese firm to buy the gas-guzzling Hummer nameplate.