Aug. 13, 2012 (China Knowledge) - China Erzhong Group (Deyuang) Heavy Industries Co Ltd<601268
>, which specializes in manufacture and distribution of heavy technical equipment and heavy casting and forging steel products, says it will issue RMB 500 million in short-term bills with a maturity of 365 days in the interbank market on Aug 15.
The company said in a statement that the bills 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 17, and the to-be-issued bills tradable Aug 20.
All the proceeds from the issue will be used to repay bank loans, said the issuer.
China Chengxin International Credit Rating Co Ltd has rated the issuer and bonds AA+ and A-1, respectively.
Agricultural Bank of China Ltd or ABC<601288
> has been assigned as the lead underwriter and bookrunner for the offering.
This will be the issuer's first short-term bills this year.