Yan Tian Port Plans 470M Yuan Capital Injection For Expansion

Date:2011-11-16houhaizhen  Text Size:

November 16 -- Shenzhen Yan Tian Port Holdings (000088.SZ), a company involved in the port, cargo handling, and transportation businesses, plans to inject 470 million yuan into Shenzhen Yan Tian West Port, reports yicai.com, citing a company filing.

Two plots of land worth a total of 97.34 million yuan will constitute part of the injection of 470 million yuan, with the remaining sum to be in the form of a cash injection.

One of the land plots has an area of 28,739 square meters, while the other covers an area of 23,595.2 square meters.

Following the capital injection, Yan Tian Port's shareholding in the target company will remain at 35 percent.

Shenzhen Yan Tian West Port was founded by Shenzhen Yan Tian Port and Hutchison Whampoa Yantian Port in 2005. The latter has a 65 percent stake in the company.

Proceeds received from the capital injection will be used to construct a container terminal in the western part of Yan Tian Port in Shenzhen.

The target company had posted 2010 net profit of 132 million yuan on revenue of 218 million yuan. Audited total assets hit 1.59 billion yuan, while liabilities totaled 140 million yuan. It is mainly engaged in the investment and management of No.1-3 multi-purpose berths at the port.

Yan Tian West Port handles container transportation, and increasing container throughput at West Port had resulted in the port operating beyond its designed capacity since 2006.

The port won approval from the National Development and Reform Commission in 2008 for a 3.84 billion yuan expansion project.

The company will build three 50,000-ton container berths with designed capacity of 1.8 million TEUs per year as part of the expansion, which is projected to take three years to complete.

Hutchisom Whampoa Yantian Port will inject 873 million yuan into the company. Bank loans will account for 2.5 billion yuan of the sum needed for the expansion.

Shares of Yan Tian Port rose 0.19 percent to trade at 5.23 yuan per share at 9:48 today.

2005-2011 www.researchinchina.com All Rights Reserved 京ICP备05069564号-1