Haixin Iron and Steel Group is looking to industrial investment funds as strategic investors, the South China Morning Post reported. The Shanxi-based private steelmaker is aiming to more than double annual production capacity by 2010 through investments of US$2.16 billion. Company Chairman Li Zhaohui said he expected to conclude talks with investment funds this year and said the company would explore a possible initial public offering in 2010. Haixin is the second-largest steelmill in Shanxi province and maintains long-term iron ore supply contracts with Austrlian miner BHP Billiton and Brazilian miner Vale for a combined 12 million tons a year. The company is also considering the purchase of Australian iron ore mines.
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