Shanghai Industrial Investment Holding (SIIH), the investment arm of the Shanghai municipal government in Hong Kong, has concluded a syndicated loan of US$250 million to finance its infrastructure projects and future acquisitions. Chairman Cai Laixing said the three-year loan facility, signed with 24 banks and financial institutions, would be used on projects such as the construction of the 2.61-kilometre Yananlu Elevated Road and the redevelopment of the Shanghai South District. The loan also would be used to finance the expansion of factories and a sales network for consumer products. Mr Cai declined to reveal when SIIH would inject more assets into its listed vehicle Shanghai Industrial Holdings which floated in Hong Kong in May. He said the group still had needs for financing, but it was yet to decide the channels and date. 'We want our financing tools to be various. But we have not yet decided which way to use (them).' He said the group wanted to keep the gearing ratio at 25 per cent this year compared with 18 per cent last year. The arranger of the loan, Hang Seng Bank vice-chairman and chief executive Alexander Au said the loan has extended from $200 million to $250 million because of oversubscription.