China National Building Material sells $300 mln shares

China National Building Material Co Ltd (3323.HK) said on Friday it would sell HK$2.34 billion ($300 million) worth of H shares to independent investors, raising capital to repay debt and for acquisitions and investments.

The cement and construction materials supplier said it would sell 298.56 million H shares, including 272.73 million new H shares and 25.83 million shares held by state-owned shareholders, at HK$7.85 each to at least six independent investors.

Shares in the company ended at HK$8.67 on Thursday.

The shares represent 24.9 percent of the firm's enlarged H-share capital, and the company has obtained all relevant Chinese regulatory approvals for the share sale, it said in a statement.

Morgan Stanley and China International Capital Corp Hong Kong Securities are arranging the deal.

For statement please click

The stock has fallen 6.9 percent so far in 2009. (US$1=HK$7.8)