Huadian Power International Corp<600027><1071>, China's largest independent power producer, has announced that it intends to issue up to 750 million A shares for RMB 4.5 per share or RMB 3.5 billion at most, sources reported.

China Huadian Group Corp, parent of Huadian Power International, will subscribe between 100 million and 150 million shares.

Following the issuance, Huadian Power International's debt/asset ratio will decline to 78.56% from the previous 82.3%.

Huadian Power International will use RMB 500 million of the proceeds from the issuance to replenish working capital and will use the remaining to fund development at five power projects.

One of the power projects is a thermal power project in Ningxia Hui Nationality Autonomous Region that has two generators each with an annual capacity of 1,000 megawatts. Another is a hydropower project in Sichuan Province that has four 230-MW units. Another is a thermal power project in Henan Province, also with two 230-MW units.

The other two projects are wind power projects. One is a 300-MW project in the Inner Mongolia Autonomous Region, and the other is a 100-MW project in Hebei Province.