SHANGHAI, Sept. 25 (SMM) – China Nonferrous Metal Industry’s Foreign Engineering and Construction Co. (CNMC) plans to raise no more than 1.785 billion yuan ($290 million) through private placement to expand its rare earth separation capacity.
CNMC plans to issue no more than 145 million shares to no more than 10 institutional and individual investors at a price of no lower than 12.31 yuan per share, the company told Shenzhen Stock Exchange today.
Of the money raised, 450 million yuan will be spent on a 7,000-tpy rare earth separation project at a CNMC’s subsidiary company located in Xinfeng county, Guangdong province, it said.
The project was approved by China’s National Development and Research Commission (NDRC) in the first half, CNMC disclosed earlier.
800 million yuan will be spent on new factory grounds of another metallurgical machinery subsidiary in Shenyang city, Liaoning province, while the rest of the money raised will be used as working capital, CNMC said in today’s statement.