Tangshan Jidong Cement to target North China market

Byyyp

Updated Thu, 29 Jul 2010 00:00:00 GMT

Tangshan Jidong Cement Co Ltd<000401> has announced plans to inject a total of RMB 700 million into seven subsidiaries to expand its market in North China.

One of the seven firms is preparing to build a cement production line that is designed to produce 2,500 tons per day, and the remaining six firms will each have a daily output of 4,500 tons of cement.

In addition, the Shenzhen-listed firm has received approval from board of directors to issue 135 million new shares for RMB 14.21 apiece or RMB 1.92 billion in total.

After the private placement, the issuer's biggest shareholder Hebei Provincial Jidong Cement Group Co Ltd's shareholdings will decline to 37.28% from current 41.42%.

The cement producer's unaudited net profit for the first half of this year is between RMB 458 million and RMB 611 million, sources reported.