Suzhou Huacan Optoelectronics Receives $150 Billion LED Project Loan

According to sources, Huacan Optoelectronics (Suzhou) Co., Ltd. has found a $150 million six-year loan for LED production projects. The Suzhou Branch of China Development Bank was the lead bank with a loan of 140 million US dollars. Bank of Communications Suzhou Branch also participated in the loan of 10 million US dollars.

According to sources, the total income of the loan is in the middle of the interval of 300-400 basis points. After a two-year grace period, it is paid in installments every six months.

Huacan Optoelectronics, a parent company listed in Shenzhen, guarantees the loan and is backed by factories and equipment. It is expected that the signing will be completed by the end of this month.

According to the company's previous notice, Huacan Optoelectronics (Suzhou) Co., Ltd. was established in August last year with an investment of 1.81 billion yuan, located in Zhangjiagang City, Jiangsu Province.

The predecessor of Huacan Optoelectronics Co., Ltd. is Wuhan Huacan Optoelectronics Co., Ltd. The revenue for the first half of this year was 111.8 million yuan, and the net profit was 14.29 million yuan, down 40% and 62% respectively over the same period of last year.

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