Anhui Conch Cement Co. (914) plans to change the use of part of the proceeds of its A-share issue in May and invest 1.2 billion yuan ($176 million) in four cement plants to support post-earthquake rebuilding in southwest China.
Total investment in the four projects, each of which involves the construction of a 4,500-ton cement and clinker production line, will be 3.17 billion yuan, the company said in a statement to the Hong Kong Stock Exchange today. The investment will also be funded by bank loans and the company’s own resources.
Anhui Conch, China’s largest maker of cement, said it is accelerating projects in southwest Sichuan province and the municipality of Chongqing to support the redevelopment of the region after the May 12 earthquake which killed more than 87,000 people and destroyed thousands of homes and factories.
Shareholders of the Shanghai-listed A-shares and Hong Kong- listed H-shares will be asked to approve the plans at an extraordinary meeting on Feb. 17, today’s statement said.
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