SHANGHAI Dec 30 Bank of China (BoC)
has signed a 10 billion yuan ($1.44
billion) debt-for-equity swap framework agreement with
state-owned Gansu Provincial Highway Aviation Tourism Investment
Group, the lender said on its website on Friday.
China's banks have increased their debt-for-equity deals
with state-owned enterprises after the government re-launched
the scheme in October to ease the borrowing overhang of the
country's struggling state firms.
BoC, China's fourth-biggest lender, will invest in Gansu
Provincial and its subsidiaries to repay bank loans, debt
financing tools and other interest-bearing burdens to reduce
financing costs and bolster capital strength, said the notice.
On Wednesday, China Construction Bank Corp
signed around 30 billion yuan ($4.31 billion) worth of
debt-for-equity swaps with eastern Anhui province's state-owned
coal and steel firms.
($1 = 6.9470 Chinese yuan renminbi)
(Reporting by Engen Tham in Shanghai; Editing by Christian