Aug. 17, 2012 (China Knowledge) - Sanhua Holding Group, the parent company of Zhejiang Sanhua Co<002050>, has announced today that it plans to issue RMB 500 million worth of unsecured medium-term notes with a maturity of three years in the interbank market on Aug 24.

The company said in a statement that the notes will be issued at face value, and the coupon rate determined in the process of book-building.

Both value and payment due date is set on Aug 28, and the to-be-issued notes tradable Aug 29.

China Chengxin International Credit Rating Co Ltd has rated the issuer and the notes AA and AA, respectively.

China Merchants Bank<600036><3968> has been assigned as the lead underwriter and bookrunner for the offering.

RMB 150 million of the proceeds will be used to replenish working capital and the remaining RMB 350 million to repay bank loans, said the issuer.