CITIC, China Oriental eye Shijiazhuan

Wednesday, 08 June 2005 14:47:25 (GMT+3)   |  

CITIC, China Oriental eye Shijiazhuan

China's state-owned investment conglomerate CITIC Pacific might team with Hong Kong-listed steelmaker China Oriental Group to participate in the tender for 65% of Hebei-based Shijiazhuan Steel. The stake is estimated to be worth more than RMB 1 billion (approximately $120 million). Shijiazhuan Steel belongs to Hebei provincial government. The government plans to keep 20% of the firm and sell 65%. What will happen to the remaining 15% is not clear yet. CITIC Pacific has been in talks with both the provincial government and Shijiazhuan Steel over the past several months. However, representatives from China Oriental Group have not yet confirmed if they will indeed join with CITIC or instead go it alone in the tender.

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