Shandong Road and Bridge (000498.SZ) plans to introduce external investors to increase the capital of its subsidiary Luqiao Group by no more than 3 billion yuan

Zhitongcaijing · 10/17 12:01

Zhitong Finance App News, Shandong Luqiao (000498.SZ) issued an announcement. In order to promote business development and enhance overall competitiveness, the company plans to introduce external investors to increase the equity capital of the wholly-owned subsidiary Shandong Road and Bridge Group Co., Ltd. (hereinafter referred to as “Road and Bridge Group”). The scale of the capital increase will not exceed 3 billion yuan. The company gave up priority payment of capital, and plans to pre-list with property rights trading institutions in the near future.

After the completion of this capital increase and share expansion, the company remains the controlling shareholder of Luqiao Group and has the power to decide on major decisions related to the Luqiao Group, which will not cause changes in the scope of the company's consolidated statements. This capital increase and stock expansion can effectively reduce the company's debt level and balance ratio, improve the financial leverage ratio, meet the company's long-term capital requirements, and optimize the company's capital structure.