Tongyi Low Carbon advances subsidiary capital increase

Xinjiang Korla Pear (SSE:600506) announced further progress on the major asset restructuring involving a capital increase for its wholly-owned subsidiary, Tongyi Petrochemical. The proposed transaction will see Tongyi Petrochemical solicit investors via a public listing on the Beijing Stock Exchange. The aim is to raise no less than 400 million, offering investors no more than a 25% equity stake. Funds raised will fuel new energy liquid cooling oil and specialty lubricant R&D, and for working capital.