Dec. 30, 2009 (China Knowledge)-Jiangsu Lianfa Textile Co Ltd, a manufacturer and exporter of home textiles based in Nantong, Jiangsu Province, has won the approval from the China Securities Regulatory Commission to launch an initial public offering in Shenzhen.
The company plans to raise RMB 736 million by issuing 27 million RMB-denominated A shares, according to the IPO prospectus.
Jiangsu Lianfa expects to further expand downstream operations after the listing. The proceeds from the issuance will be used for the technological innovation of its high grade fabric weaving and dyeing project and the innovation of its special high-grade natural fiber yarn production line, etc.
In the first six months of this year, Jiangsu Lianfa posted net profit of RMB 688.55 billion. Revenue from exports accounted for 73.62% of its total operating revenue during the period. It is the fabric supplier for well-known apparel brands, such as GAP, H&M.
