Hebei Province-based Chinese steelmaker Hebei Iron and Steel Co. (Hebei Steel) has announced that it will issue 1.429 billion shares at a price of RMB 5.6 ($0.88) per share to raise funds not exceeding RMB 8 billion ($1.25 billion) in value.
In particular, RMB 4.105 billion ($0.64 billion) of the raised funds will be used in the acquisition of 100 percent equity of Tangsteel Auto Sheet Co. (Tangsteel Auto Sheet), while RMB 2.395 billion ($0.37 billion) will be used to repay loans and the remainder will be invested in the second phase of construction of Hebei Steel’s high-strength auto sheet project.