Chang Jiang Shang Bao·2025-12-23 02:37Group 1 - Chongqing Steel plans to issue 758 million shares to Huabao Investment, raising a total of 1 billion yuan, which will be used to supplement working capital and repay bank loans [2][4] - After the issuance, China Baowu's stake in Chongqing Steel will increase from 29.51% to 35.07%, enhancing its control over the company [2][5] - The capital injection from China Baowu reflects strong support for Chongqing Steel during a downturn in the steel industry, providing a solid backing for long-term development [2][7] Group 2 - The funds raised will help reduce the company's debt ratio and financial costs, improving its risk resistance and aligning with national policies to enhance direct financing and reduce leverage in state-owned enterprises [3][6] - As of September 2025, Chongqing Steel's total assets were 35.077 billion yuan, with a debt ratio of 53.22% [6] - The company has not implemented equity refinancing since December 2013, indicating a long period without raising capital through equity [6] Group 3 - Chongqing Steel has been actively implementing systematic reforms to reduce losses and improve operational efficiency amid a challenging industry environment [7][8] - The company has established a management model that integrates production, sales, and research, achieving cost reductions and efficiency gains [8] - In the first three quarters of 2025, Chongqing Steel reported a revenue of 19.091 billion yuan, a year-on-year decrease of 7.32%, but managed to reduce losses significantly [8][9]