Himin Solar Energy Group, the world's largest maker of solar water heaters, planned to list on the mainland this year to capture burgeoning demand for energy-saving and environmentally friendly products, chairman Huang Ming said.
United States investment bank Goldman Sachs and venture capital fund CDH Investments had agreed to invest a combined US$100 million in the Shandong-based privately owned company, Mr Huang said on the sidelines of the annual National People's Congress yesterday.
Himin would set up a unit for the listing, of which Goldman and CDH would together own 20 per cent, he said. Mr Huang would remain as the controlling shareholder with at least 50 per cent, while the remaining shares would be offered to employees and sale distributors.
'Strategic and other investors want us to sell shares this year. Personally, I want to float the shares in the second half of next year,' he said.
Proceeds from the pre-listing investment and the A-share offering could be used for expansion and help Himin to meet the target of 30 billion yuan annual revenue by 2012 from a 'few billion yuan' last year, he said.
Beijing aims to double the portion of renewable energy to 15 per cent of total consumption by 2020. That is encouraging producers to set up factories on the mainland to take advantage of lower labour costs and improving technology.