Goldwind Science and Technology Co, the country's largest maker
of wind-powered generators, plans to issue 50 million shares in a
Shenzhen initial public offering (IPO).
The company is expected to raise 1.88 billion yuan from the IPO.
It had 2.8 percent of the world's wind-power generator market in
2006 and the IPO would account for 10 percent of the company's
expanded share capital, according to its prospectus released
yesterday.
Xinjiang-based Goldwind expects a net profit of 601 million yuan
this year, with earnings per share hitting 1.2 yuan, the prospectus
said.
Goldwind's turnover has doubled in each of the past few years
and tripled to 1.5 billion yuan in 2006 as a result of the
government's clean energy push.
The use of wind power, a clean and renewable energy source, has
grown quickly in China in recent years. By the end of 2006, the
total installed capacity of wind power in the country was about
2,600 MW. In 2006 China added a total of 1,300 MW of installed wind
power generation.
"This year, the nation's wind power industry will continue to
see quick growth. In 2007, the installed capacity is expected to be
increased by another 1,000 MW," said Shi Pengfei, vice-chairman of
the Chinese Wind Energy Association.
Shi estimates that China possesses a 1,000-GW potential in wind
energy, 250 GW on land - mainly on the northwest and east coasts -
and 750 GW offshore.
By 2020, wind power will have a market value of $1.25 billion,
making China potentially the world's largest market. However,
competition is also heating up at home, with a dozen foreign
players vying for a slice of the booming market, including global
leader Vestas Wind Systems, Spain's Gamesa and India's Suzlon
Energy Ltd.
Goldwind kicks off its IPO roadshow in Beijing today, Shanghai
on Monday and Shenzhen on Tuesday. The company plans to use the
proceeds to expand capacity, finance research and development and
develop wind farms, the prospectus said.
A number of Chinese energy players have sold shares in the
United States, including solar cell makers Yingli Green Energy Co
Ltd and LDK Solar Hi-Tech Co.
(China Daily December 7, 2007)
