Beijing Shougang Co Ltd has revealed plans to set up a 6.4
billion yuan venture to produce cold-rolled steel in the capital's
eastern fringe Shunyi.
Beijing Shougang and parent Shougang Corp will set up the
venture with Beijing Automobile Investment Co, the Chinese partner
of Hyundai Motor Co. The company will have registered capital of
2.6 billion yuan, Beijing Shougang said in a statement to the
Shenzhen stock exchange yesterday.
Beijing Shougang will take a 70.28 percent stake in the venture
by contributing fixed assets and capital and its parent will take a
9.72 percent by contributing land. Beijing Automobile will hold the
remaining 20 percent stake by offering the cash, the statement
said.
Shareholders of Beijing Shougang will meet on December 13 to
vote on the joint venture plan, it said.
A new cold-rolled steel plant under the venture will start
production this year.
(China Daily November 29, 2007)
