Anhui BBCA Biochemical Co., Ltd. (SZSE: 000930) under the aegis of Chinese conglomerate COFCO Ltd. plans to set up a wholly-owned international cargo transportation firm with CNY 10 million.
The move is aimed to further complete the logistics system, control the logistics cost, raise service quality, improve the comprehensive performance, and develop independent global cargo transportation business, the Shenzhen-listed company says today in an announcement.

The company, exporting more than 100,000 tons of cargos each year, plans to apply to the financial subsidiary of COFCO for a credit line of CNY 800 million. It will use the money to speed up its business growth, ease financial pressure in operation, and supplement working capital.

COFCO, headquartered in Beijing, will offer a guarantee to the credit line. The conglomerate owns a controlling stake in BBCA Biochemical, which is based in the central province of Anhui and went public on the Shenzhen Stock Exchange in July 1999.