Yunhai to issue new shares to fund magnesium alloy facility
Wednesday, 30 Sep 2009
Yunhai Special Metals Company Limited announced that it plans to issue a maximum of 30 million new non public shares worth less than CNY 350 million to fund its new 100,000 tonnes magnesium alloy production facility located in Anhui Province's Chaohu City.
The company intends to invest a total of CNY 656.75 million into the new magnesium alloy facility, the construction of which is expected to take 3 years to complete.
Yunhai Special Metals has magnesium alloy production facilities in the cities of Nanjing and Suzhou in Jiangsu Province, as well as in the counties of Wenxi and Wutai in Shanxi Province, which have a total annual magnesium alloy production capacity of 135,000 tonnes. The proposed share issue is still subject to approvals from the company's shareholders and the Chinese government. The share price of Yunhai Special Metals reached CNY 12.77 at 11:30 AM Beijing time in Shenzhen up 1.11% from the previous trading day.
