STX scores Chinese funds for Dalian expansion

South Korea's STX Group said Tuesday its Chinese affiliates have secured 2.85 billion yuan (US$417 million) in loans from Chinese lenders to fund the construction of its industrial complex in Dalian. STX Dalian Shipbuilding borrowed 1.35 billion yuan from the state-run China Construction Bank, while STX Dalian Engine clinched the remainder from another Chinese bank, the business group said without naming the second lender.
The debts carry an interest rate of 6.14 per cent and mature in nine years, according to STX.
The money will be used to complete the second phase of its shipbuilding industrial base in Dalian, northeast China, STX said.
The industrial base will be completed within the year to include vessel-engine facilities and industrial plants, it said. 
STX Group shares soared on the news. STX Corp rose 8.25 percent and STX Engine leapt 5.56 percent.