(China) -- Anhui Conch Cement Co Ltd recently announced that it plans to borrow RMB 4.8 billion from parent Anhui Conch Group Ltd at an interest rate of 4.83% and that that the loan will be due Jan. 24, 2013.
According to the statement, the listed cement firm will use the funds to develop energy-saving technology, optimize its capital structure and replenish working capital.
Anhui Conch Group has issued RMB 5 billion worth of three-year notes with an interest rate of 4.45% on the interbank market.
Zhang Mingjing, vice general manager and board secretary of Anhui Conch Cement, said borrowing from the parent company takes less time than borrowing from a bank.
Reportedly, Anhui Conch Venture Investment Co Ltd, the third-largest shareholder of Anhui Conch Cement, has announced that it bought a further 0.31% or 5.35 million shares in the latter firm, and now holds a stake of 5.07% or 89.52 million shares.
Source: http://www.chinaknowledge.com/Newswires/News_Detail.aspx?type=1&NewsID=31154