On December 30, Inner Mongolia-based Chinese steelmaker Baotou Iron and Steel Co. (Baogang) announced that it plans to issue 8.255 billion shares to its controlling shareholder Baogang Group and six other companies. The total of RMB 29.8 billion ($4.87 billion) raised from the share issue will be invested in purchasing some of Baogang Group's assets, including mining projects.
In the first three quarters this year, Baogang's operating revenue amounted to RMB 28.26 billion ($4.62 billion), down 4.23 percent year on year, while its net profit for the period was RMB 168 million ($27.45 million), down 40.84 percent year on year.