May. 15, 2012 (China Knowledge) – Fujian Zhanglong Industrial Co Ltd, the controlling shareholder of Fujian Zhangzhou Development Co Ltd<000753>,announced it will issue RMB 400 million worth of notes with a maturity of five years on the interbank market on May. 22.

Coupon rate will be determined in the process of bookbuilding and the notes will be issued at face value. Both value date and payment due date is set on May. 23 and the to-be-issued notes tradable May. 24.

China LianheCredit Rating Co Ltd has rated the issuer and notes AA and AA, respectively.

China Development Bank or CDB has been hired as lead underwriter and bookrunner for the offering.

The company said that, RMB 160 million of the proceeds will be used to repay bank loans, while the rest RMB 240 million will be used to replenish working capital.

This will be the issuer's firstmedium-term notes this year.