Weiqiao Pioneering Group to issue RMB 1 bln in Bills

Shandong Weiqiao Pioneering Group Co Ltd, parent company of China's biggest cotton textile manufacturer Weiqiao Textile Co Ltd<2698>, yesterday announced that it will issue RMB 1 billion in short-term bills with a maturity of 365 days on the inter-bank market on Jan. 5, 2011, sources reported.

The company said in a statement that this batch of bills will be issued at face value and the coupon rate will be determined during the process of book building.

RMB 800 million from the proceeds will be used to purchase cotton to secure the raw material supply, while the remaining RMB 200 million will be allotted to buy coal to ensure supply of its thermal power plant.