Goldman Sachs and United States fund manager Pinnacle Fund have joined hands with other investors to acquire US$50 million worth of convertible notes in New York-listed China Water and Drinks.
The addition of the new investors will help the Shenzhen-based company fund its capacity expansion plans by building new plants and through acquisitions.
Goldman Sachs, Liberty Harbour Master Fund, Pinnacle Fund and Pinnacle China Fund are among investors signing an agreement to buy the notes, China Water said in a statement.
Carrying an annual interest rate of 5 per cent, the notes can be converted into China Water shares at US$4.25 each. No time frame for conversion was given.
The company's shares closed last Friday at US$17.25 on the over-the-counter market of the New York Stock Exchange, a 47.06 per cent surge from a year earlier.
The mainland is the world's third-largest bottled water market.
It is estimated to have grown over 30 per cent annually in recent years, reaching 30 billion yuan in sales last year, according to a China News Agency report.
