Guangzhou: Beibu Gulf Port Group (BGPG), the main port operator in Guangxi province, has announced that it is going to issue 131.89m new shares from June 30 to raise RMB2.7bn ($435m).
The raised funds will be used to purchase the entire assets of Fangchenggang Xinggang, Qinzhou Xinggang and Beihai Xinggang, as part of plan to integrate all the port assets in the province. It will also be used to fund the construction of a number of berths at Beihai Port, Fangchenggang Port and Qinzhou Port.
BGPG signed a joint-venture agreement with Singapore’s PSA International and Pacific International Lines (PIL) to operate a new container terminal in Qinzhou City in June.
The Chinese government has selected Guangxi as a key trade hub for the ASEAN region in its “One Belt, One Road” initiative launched this year. The location, it says, will be a key connection in the Silk Road Economic Belt and the 21st-century Maritime Silk Road.