Mar. 8, 2012 (China Knowledge) - Sichuan
Chuantou Energy Co Ltd<600674
>, which is principally engaged in generating hydroelectric power and thermal electric power, has announced plans to raise around RMB 1.99 billion via a public offering to develop Ertan Hydropower Station.
According to the plans, the Shanghai-listed
firm will issue 163 million A shares at a price of RMB 12.22 apiece. The issuer's largest shareholder Sichuan
Provincial Investment Group Co Ltd has promised to subscribe not less than 5% of the to-be-issued new shares.
The hydropower station, 48% owned by the issuer and located in Southwest Sichuan
, principally supplies electricity to Sichuan
Province and Chongqing
with an installed capacity of 3.3 gigawatts. In the first half of last year, the station's operating revenue from core businesses totaled RMB 1.07 billion, sources reported. Sichuan
Chuantou Energy also holds a 10% stake in another hydropower plant, launched by State Grid Corporation of China and situated in the west-central of Sichuan
In 2011, the energy supplier earned RMB 357 million in net profit attributable to shareholders, up 4.87%, and the firm's operating revenue for last year increased by 5.04% to RMB 1.15 billion.