Zunyi Chlor-Alkali Chemical to Bring in Strategic Investor by Share Sale   

Zunyi Chlor-Alkali Chemical Co., Ltd. has put 14 million shares on sale in April on the Shanghai United Assets and Equity Exchange.
   Zunyi Chlor-Alkali Chemical, or formerly Zunyi Soda Ash Plant, is the only chlor-alkali maker in Guizhou province and one of the 13 key national designated chlor-alkali companies. It has a total share of 170 million, and is controlled by the State-Assets Supervision and Administration Commission of Guizhou province.
   The company has four manufacturing plants, six subsidiary companies and two Sino-foreign joint ventures as well as three technology centers, with total assets exceeding RMB750 million.
    It is capable of producing 150 000 tons of PVC, 105 000 tons of caustic soda, 160 000 tons of calcium carbide, 20 000 tons of potassium sulfate, 15 000 tons of trichloroethylene per year. The company also produces hydrochloric acid, liquid chlorine, oxygen, plastic profile.
   Zunyi Chlor-Alkali Chemical aims to list on a stock market before 2011 by introducing strategic investors, with a sales target of more than RMB5 billion by 2012. The development plan has won support from the local government.
   Zunyi Chlor-Alkali Chemical posted a loss in 2008 amid the global financial crisis and the slowdown in domestic economy. China's chlor-alkali sector remains weak and there is no sign of recovery, industry watchers said. This provides a good opportunity for industry consolidation and stake acquisition for investors.