The company had announced that it plans to invest RMB 40 mln to jointly establish Tianqi Wind Generator Parts Manufacture Co. Ltd with three other companies including Jiangsu Wenhui Steel Engineering Co. Ltd.

Tianqi Wind Generator will specialise in the manufacturing and processing of castings, forgings and structural applications. It boasts a registered capital of RMB 100 mln, of which the company will hold a 40% stake, and the other three companies will respectively invest RMB 30 mln, RMB 20 mln and RMB 10 mln. All of the registered capital will be paid in two cash instalments, with RMB 50 mln to be paid in each instalment. The first RMB 50 mln must be paid prior to October 2008 in one-off payment according to the ratio of their stakes and the remaining RMB 50 mln must be paid prior to June 2010 also in one-off payment. Capital verification procedures must also be completed within same period.

According to the announcement, the main business of the joint venture will be to finish the main parts of large-scale wind turbines. It will have an annual production capacity of 3,000 sets of wind turbine parts including wheels, spindles, housings, base-frames and size mixer brackets.


Source: China Securities Journal

Date: 9 Jul 2008

CN01/RL/MZ/BT/WH