Zhaojin Mining Industry Co. Ltd. said Oct. 11 that shareholder Shandong Zhaojin Group Co. Ltd. submitted a proposal for the former to issue up to 1.5 billion yuan of 10-year corporate bonds.
The proceeds will be used for the company's operations, which include replenishment of liquidity, repayment of interest-bearing debt and project investment expenses.
The proposal will be presented to shareholders for consideration at an extraordinary general meeting on Oct. 29. It will also require the approval of the China Securities Regulatory Commission.
Shandong has a 36.68% stake in Zhaojin Mining, owning 1,181,371,195 shares.
As of Oct. 10, US$1 was equivalent to 6.92 yuan.