Jul. 30, 2012 (China Knowledge) - Kunming Iron & Steel (Group) Co has said that it will issue RMB 590 million in unsecured bills with a maturity of 365 days on the interbank market on Aug. 6, sources reported.
The company said that the bills will be issued at face value, and the coupon rate will be determined in the process of book-building.
Both value date and payment due date will be on Aug. 8, and the to-be-issued bills are tradable on Aug. 9.
China Chengxin International Credit Rating Co Ltd has rated the issuer and bills AA and A-1, respectively.
Proceeds from the deal will be used to replenish the group's working capital and repay bank loans.
Shanghai Pudong Development Bank Co Ltd<600000
> has been assigned as book-runner and lead underwriter for the offering.
This will be the first short-term bills issued by the company this year.
In the first quarter of this year, the company suffered a loss of RMB 1.46 million, and its core business revenue was 2.3 billion.