Chinalco has no immediate fund-raising needs -report
HONG KONG, March 6 (Reuters) - Chinese aluminium giant Aluminum Corp of China (Chinalco), which led a $14 billion equity investment in global miner Rio Tinto (RIO.L) (RIO.AX) in January, has no immediate plans to raise money to help fund overseas acquisitions, its president said.
Chinalco President Xiao Yaqing said the state-owned firm and its listed arm Chalco (2600.HK) (601600.SS) were financially healthy and he did not see any need for the parent to raise funds through Chalco in the near term, the South China Morning Post reported on Thursday.
"Chinalco has 200 billion yuan ($28.14 billion) of assets and our gearing is only about 40 percent," Xiao said.
Chinalco, the world's third-largest alumina producer through Chalco (2600.HK) (601600.SS), and U.S. firm Alcoa Inc (AA.N), the world's top alumina maker, this year gate-crashed BHP Billiton's BHP.AX. (BLT.L) plan for a takeover of Rio with a $14 billion purchase of a 9 percent stake in the company.
In the domestic market, Chinalco this week agreed to take over Shenyang Nonferrous Metals' processing plant in Liaoning and invest at least $422.5 million into the plant.
Late last year, Chinalco signed an agreement to buy a majority stake in Yunnan Copper's (000878.SZ) parent company, which is expected to cost it another 9.5 billion yuan.
Fast-expanding Chinalco is selling 4.18 billion yuan worth of shares in five aluminium fabricating plants and one aluminium smelter in China. Chalco is a potential buyer. ($1=7.1 yuan) (Reporting by Polly Yam; Editing by Edmund Klamann)
