Shanghai-listed real estate-to-securities conglomerate Jilin Yatai (Group) Co Ltd<600881> plans to spend RMB 360 million to raise its stake in Bank of Jilin, in consideration of the lender's favorable operation conditions and rosy prospect.

The Jilin province-based company in Northeast China plans to subscribe 200 million new shares of Bank of Jilin, at a price of RMB 1.8 apiece, according to the statement the company filed with the Shanghai bourse. But no legally binding documents have been formed at the moment.

Its stake in Bank of Jilin will rise to 5.82% after the completion of the deal. It spent RMB183.6 million, or RMB 1.02 each, to acquire 180 million shares, or 5.26% stake in the lender in January.

Bank of Jilin, with a registered capital of RMB 3.422 billion, principally engages in deposit and loan businesses to local residents and enterprises in Jilin. It realized a net profit of RMB 37.96 million last year. And its total assets climbed to RMB 53.02 billion by the end of 2007, with a net asset of over RMB 3.51 billion.

In addition, Yatai Group disclosed it has given green light to unit Harbin Cement Co Ltd on its plan to invest RMB 111.91 million to build a cement plant, in a bid to further strengthen its cement business.

The project, with a designed manufacturing capacity of one million tons of cement a year, is expected to bring Yatai Group RMB 285.74 million in sales revenue and RMB 19.33 million in net profit annually after it commences production.