SHANGHAI Jan 12 China Construction Bank (CCB)
has signed 35 billion yuan ($5.06 billion)
worth of debt-for-equity swap framework agreements with three
state-owned enterprises in the central province of Henan, a
newspaper linked to the local government reported on Thursday.
CCB, one of China's big four lenders, has led the country's
latest round of debt-for-equity swaps, signing deals with
struggling, debt-laden state firms to lower their leverage and
cut financing costs following instructions from Beijing.
CCB has signed swap deals with the Henan State-owned Assets
Supervision and Administration Commission (SASAC), Henan Energy
and Chemical Industry Group, China Pingmei Shenma Group and
Anyang Iron & Steel Group, said the Henan Daily.
The deals will help the firms handle cycles in their
profitability and support projects among other things, the paper
The deals come after CCB signed 50 billion yuan of debt swap
deals with Shaanxi Coal Industry Chemical Group Co., Shaanxi
Energy Group Co., and Shaanxi Non-ferrous Metal Holding Group
earlier this month.
($1 = 6.9187 Chinese yuan renminbi)
(Reporting by Beijing monitoring desk and Engen Tham in
Shanghai; Editing by Simon Cameron-Moore)