China's Tangshan Steel to issue 3 bln yuan in CBs

Tangshan Steel Co. Ltd. , a unit of China's second-largest steelmaker by output, said on Tuesday it plans to offer up to 3 billion yuan ($397 million) in five-year convertible bonds this year.

The proceeds will be used to repay bank borrowings for the construction of a 1.3 million-tonne cold-rolled sheet mill and a 1 million-tonne hot-rolled sheet mill, and upgrade coal gas systems, the company said in a statement.

Most of the projects have been completed or are about to be finished, the company said, adding that the convertible bond plan had yet to be approved by its shareholders. ($1=7.566 Yuan)