Shandong Hi-speed Group Issues CNY2.4bn Bonds

Employing CITIC Securities Co., Ltd. (SHSE: 600030) as its lead underwriter, Shandong Hi-speed Group Co., Ltd. started to issue its ten-year bonds on May 15, 2009.

Totally, the company will raise CNY 2.4 billion from the bond sale. Of the money, CNY 1 billion will be used for the Qingdao Bay Bridge project, CNY 1 billion for the Leshan-Yibin expressway project, and CNY 400 million for capital replenishing. The Qingdao Bay Bridge, with an overall length of 35.4 kilometers, and the Leshan-Yibin expressway, with a length of 137.78 kilometers, both will be accomplished at the end of 2010.

Established in 1997, Shandong Hi-speed Group has accumulated rich experience in expressway investment, construction, and operation management. It gained revenues of CNY 10.885 billion from its main business in 2007. Its operating net cash flow stood at CNY 1.281 billion, CNY 4.886 billion and CNY 3.168 billion in 2005, 2006 and 2007 respectively.

Source: www.cnstock.com (May 15, 2009)

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