China Longyuan completes CNY-1bn debenture offering
Wind power-focused utility China Longyuan Power Group Corp Ltd (HKG:0916) said Thursday it has issued CNY 1 billion (USD 156m/EUR 138m) worth of 90-day debentures to replenish working capital.
The company, part of state-owned power producer China Guodian Corp (CGC), may also use the proceeds for debt repayment. It aims to reduce its finance costs and improve its overall competitiveness.
The ultra short-term debentures have a 2.8% coupon, which started to accrue on August 19. Shanghai Pudong Development Bank Co Ltd served as underwriter of the issue.
China Longyuan’s total installed capacity as at June 30, 2015 stood at over 16.72 GW, 14.57 GW of which is wind. In a separate statement on Friday, parent CGC announced that its unit had won a governmental deal to add 100 MW of wind capacity in Feidong county, Hefei city, Anhui province.