Sep. 13, 2012 (China Knowledge) - Beijing Yanjing Brewery Co Ltd<000729>, a leading Chinese beer supplier, said yesterday that it plans to raise up to RMB 2.62 billion through public offering of no more than 520 million shares.

The company said in a statement filed with the Shenzhen Stock Exchange that proceeds from the deal will be used for 11 projects, including capital injection into subsidiaries in eight provinces to help them expand production capacity.

The company plans to inject RMB 454 million into Xinjaing Yanjing Brewery Co to add 100,000 kiloliters of beer capacity and set up a beer joint venture.

In addition, the company will inject RMB 280 million in to Sichuan Yanjing Brewery Co to build a 100,000-kiloliter beer line and a beer can line.

In the first half of this year, the company's net profit rose only 2.69% YoY to RMB 451 million, and the growth was much lower than the industrial average of 10.16%.