Mr. Duan Chuanliang, Chairman of China Water (Middle), Ms. Hisaka Kimura, East Asia Unit Head of ADB¡Ös Private Sector Operations Department (Right), Mr. John Corrin, Global Head of Loan Syndications of Australia and New Zealand Banking Group Limited (Left) attended the signing ceremony.
(20 January, 2016, Hong Kong) China Water Affairs Group Limited ("China Water" or "the Company" stock code: 00855.HK) today announced that the Company has signed a US$200 million B-loan agreement with Asian Development Bank ("ADB") who is in partnership with 18 banks to support the water supply and distribution project of China Water. The project aims to improve the access to water in cities of China, particularly for the water supply projects in connection with the urban-rural integration.
The $200 million B-loan signed today is part of ADB¡Ös financing package to China Water, which includes an ADB direct loan of $100 million signed in May 2014, a total commitment of $300 million. Under the B-loan structure, ADB acts as lender of record and ANZ Bank acts as the lead manager for the loan funds provided by a total of 18 banks involved. China Water will use the loan proceeds to build, acquire and rehabilitate water treatment and distribution hubs in second- and third-tier cities, and to supply safe and reliable water through the urban-rural integration.
China Water Chairman Mr. Duan Chuanliang said: éChinese government is speeding up the reform in the water sector and in the infrastructure and public utility sectors through the promotion of PPP (Public-Private Partnership) model. As a responsible public utility operator, we believe in the famous saying that éthe highest level of ethics is like water, which is beneficial for all things without striving for fame and gain¡e. We will contribute to the development of the society. With years of experience in the Chinese water market and the nationwide business network, China Water will leverage the new opportunities arising from the PPP model and the rapid economic growth in the water industry to identify proper M&A targets and to expand our water supply capacity and network.¡e
Mr. Duan added, "The ADB provides timely financial support for us to improve the water facilities and operations in the middle and small cities in China, especially the water supply projects for urban-rural integration. We appreciate the strong support from ADB and the participating banks. We will continue to work with the banks and contribute to the economic growth of the society, well-being of the people and safety of the water.¡e
The Asian Development Bank, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth and regional integration. Established in 1966, it is owned by 67 members -- 48 from the region.
About China Water Affairs Group Limited
China Water Affairs Group Limited is principally engaged in waterworks investment and operations as well as other related businesses in the PRC. The Group¡Ös businesses include urban water supply, water supply systems management, meter installation and related value-added businesses. Currently, the Group¡Ös businesses cover 3 municipalities of Beijing, Tianjin and Chongqing and over 50 cities in various provinces including Guangdong, Jiangxi, Henan, Jiangsu, Hunan, Hubei, Sichuan etc. With a well-established cooperative relationship with various local government authorities, the Group has positioned itself in a leading position in China¡Ös water industry.
This press release is issued by PRChina Limited on behalf of China Water Affairs Group Limited.
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