China’s Power Play

• 14 years ago (2010-01-18)
• David Flin

Asia 894

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Huandeng Power International has said that it is trying to raise $1.1 billion through the sale of 800 million Shanghai-traded shares and 400 million Hong Kong-traded shares.

The company has widened its reach in other way. It announced earlier this month that it would acquire $1.26 billion worth of stakes from a smaller producer, Shandong Electric Power, in an effort to boost its productivity as well as expand its reach across . Specifically, the purchase would help Huaneng enter the market in province, far to the south of its headquarters in .

Huaneng also plans to spend $1.3 billion to acquire other assets not directly involved with the production of electricity, such as ports and coal mines. It claims that by investing in other parts of the supply chain, it will be able to reduce costs and maximise profits.