26 Oct 2010 11:01

Liyuan Aluminum to launch IPO in Shenzhen

Shanghai. October 26. INTERFAX-CHINA - Jilin Province-based aluminum alloy producer Jilin Liyuan Aluminum Co. Ltd. announced Oct. 26 that it will issue a maximum 23.6 million shares through an initial public offering (IPO) on the Shenzhen Stock Exchange on Nov. 3.

According to the listing prospectus, the company hopes to raise a minimum of RMB 436.48 million ($55.38 million) to put toward two aluminum alloy deep processing projects. The projects require a total investment of RMB 636.48 million ($95.34). If funds raised do not reach the expected amount, the company will apply for bank loans.

Liyuan Aluminum currently has an annual aluminum alloy products production capacity of over 120,000 tons.

In the first half of the year, the company generated sales revenue of RMB 470.21 million ($70.43 million) and net profit of RMB 43.93 million ($6.58 million).

Shenzhen-headquartered Ping An Securities Ltd. will underwrite the offering.

- KY