Xinao Gas Holdings Limited

(8 May 2001, Hong Kong) - Xinao Gas Holdings Limited ("Xinao Gas"), a non state-owned piped gas distributor, today announced that it has received approximately 5 times subscription for its placing of 180 million new shares. As a result, an aggregate of 207 million shares (including 180 million new shares initially available under the Placing and 27 million shares through stock borrowing arrangement to satisfy over-allocations) have been allocated to professional, institutional and other investors. The placing price has been fixed at HK$1.15 per share.

Xinao Gas raised HK$207 million through the placing of 180 million new shares at a price of HK$1.15 per share.

Mr. Wang Yusuo, Chairman and Executive Director of Xinao Gas, said, "We are delighted that our placing has achieved such satisfactory results. This demonstrates that our business is attractive and that we have won both strong investor interest and confidence in Xinao Gas. It also reaffirms our leading position as a non state-owned piped gas company in the industry. We will use the proceeds to develop our piped gas business, which will include the construction of gas pipeline infrastructure and the acquisition of new projects, to cater for increasing demand in downstream natural gas consumption in the PRC."

Mr. Wang concluded, "Looking ahead, we will capture the many business opportunities in natural gas arising from the Chinese government's strong support. We will continue to extend our business across the regions, along the West to East Pipelines, thus enlarging our customer base and scale of operations. The Group will focus on business expansion in Shanghai Municipality, Tianjin Municipality and Jiangsu, Zhejiang and Auhui Provinces. With our solid foundation and focused future development strategies in the industry, we are confident that the Group's business will achieve escalating growth and generate significant returns for our shareholders."

Dealings in Xinao Gas's shares on the GEM board of The Stock Exchange of Hong Kong Limited will commence on 10 May 2001 (Thursday). The stock code is 8149.

Xinao Gas was founded by Mr. Wang Yusuo, Chairman and Executive Director of the Group and his wife, Ms. Zhao Baoju in 1993. Business operations began when Mr. Wang and Ms. Zhao formed Langfang Xinao in Langfang, Hebei Province to engage in the investment in, and the operation and management of, gas pipeline infrastructure and the sale and distribution of piped gas. The Group's other business activities include the sale of gas appliances and equipment, as well as the provision of repair and maintenance services. Currently, the Group's business has expanded from Langfang City in Hebei Province to Liaochang, Miyun and Huludao, located in Shandong Province, Beijing Municipality, and Liaoning Province respectively. Subsequent to the listing, the Group's business will further expand through the acquisition of companies in Changping in Beijing Municipality, Huangdao in Qingdao City, Shandong Province and Pinggu in Beijing Municipality and the establishment of new companies in Jingzhou in Hubei Province, Chengyang in Qingdao City, Shandong Province and Zhucheng in Shandong Province resulting in the Company having interests in a total of 10 gas projects in the PRC.

© Copyright 1996-2024 irasia.com Ltd. All rights reserved.

DISCLAIMER: irasia.com Ltd makes no guarantee as to the accuracy or completeness of any information provided on this website. Under no circumstances shall irasia.com Ltd be liable for damages resulting from the use of the information provided on this website. TRADEMARK & COPYRIGHT: All intellectual property rights subsisting in the contents of this website belong to irasia.com Ltd or have been lawfully licensed to irasia.com Ltd for use on this website. All rights under applicable laws are hereby reserved. Reproduction of this website in whole or in part without the express written permission of irasia.com Ltd is strictly prohibited. TERMS OF USE: Please read the Terms of Use governing the use of our website.