World Bank takes stake in China cement company
Thu Dec 22, 2005
WASHINGTON, Dec 22 (Reuters) - The World Bank's private sector promotion arm on Thursday said it has acquired 48 million shares in Anhui Conch Cement Co. Ltd. (0914.HK: Quote, Profile, Research) (600585.SS: Quote, Profile, Research), China's largest cement maker.
Morgan Stanley Private Equity Asia has also agreed to acquire 132 million shares in the firm, which is majority-owned by the Anhui provincial government, the International Finance Corp. said.
The private sector development lender gave Anhui Conch Cement, a top supplier of high-grade cement in eastern and southern China, a 650 million renminbi loan in October.
"We are pleased to build on our existing relationship with the company and hope the equity investment and the share reform plan will enhance management standards," IFC Associate Director Karin Finkelston said in a statement.
The IFC has provided $2 billion in financing to more than 100 Chinese companies since 1985.
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