Guo Wenqing, Chairman & President of MCC Group and Chairman & Party Secretary of MCC, met with Vice President Wang Wei of Agricultural Bank of China (ABC) at MCC Headquarters in Beijing on December 16, 2014. In a cordial and friendly atmosphere, both parties held a discussion, reviewed the history of mutual collaboration, exchanged views and reach a consensus on methods for strengthening cooperation in the future.
Guo extended warm welcome to Wang Wei and his delegation members, and then made a briefing on the development of MCC Group. According to Guo, MCC Group intensified efforts on reform, innovation and transformation development in recent years and achieved remarkable progress. Though the steel and metallurgical industry remain weak, and the global economic recovery is pretty slow, MCC Group see a big reversal, the various operational indicators seem to be continuously positive and grow at a high rate. The real estate and infrastructure development has been established into the core business of MCC, which is a field with the fastest growth speed. Thanks to the powerful manufacturing capability for steel structure (especially the deformed steel structure), MCC has develop the theme park, large-span steel structure and large-sized stadium into the new unique business sector and the economic growth point. Up to now, MCC Group has fulfilled quite a few key projects in China and overseas regions, for instance, Bird's Nest Stadium in Beijing, Universal Studios Sentosa in Singapore and Chimelong Ocean Kingdom in Zhuhai City of China, and has been placed with high premium by all the employers. In addition, MCC Group possesses several quality (and even rare) assets and resources, for example, MCC Taxi Company in Beijing, 13 MCC Hospitals (including 6 Grade-A Hospitals of Second Class) in all the country.
Guo mentioned that, thanks to the joint efforts made by all the cadres and employees, MCC Group has successfully resolved major historical problems in relation to MCC Paper, MCC Hengtong Cold Rolling Technology Co., Ltd. and MCC Huludao Nonferrous Metals Group Co., Ltd. Huludao Zinc Industry Co., Ltd. returned to the capital market, the company realized profit and the stock price remained at high level. Moreover, some key domestic and foreign projects enjoy a promising future. Owe to the efforts made in the past nine years, Ramu NiCo Project in Papua New Guinea (PNG), ranking No. 3 in terms of nickel laterite ore reserve in the world, has been completed and put into operation. Along with the rising of the nickel price in the whole world, this project is anticipated to realize profit in this year. MCC Group was awarded with the contracts for several key projects in this year, and this will lay a firm foundation for the development in the coming three to five years.
Guo pointed out that, MCC Group has carried out bold reform, innovation and exploration. By means of issuing bond in China and overseas regions, the financial cost of MCC Group has been reduced. MCC Group will redouble efforts in reform and innovation, transform the resources into assets and then into capital. In fact, the work of next year will be focused upon financial reform and innovation such as capital operation and property fund.
Guo Wenqing stated that, ABC and MCC Group have been maintaining a perfect partnership. Even when MCC Group witnessed the most difficult period, ABC never retreated MCC Group but provided support as always and helped MCC Group to effectively cut down the asset-liability ratio. At present, MCC Group demonstrates perfect growth and sustainability, so that the mutual collaboration will enjoy a wider field and a more promising prospect. He expected both parties to strengthen communication basing upon the existing good foundation, conducted further cooperation in capital operation, equity fund, finance lease and overseas financing, with a target to push the mutual cooperation onto a new height.
Wang Wei expressed gratitude for the hospitality extended by Chairman Guo Wenqing and the other heads of MCC Group. He mentioned that, after hearing the brief introduction, he got a deeper understanding on MCC Group. According to Wang, MCC Group is fully recognized by its capability and courage in resolving key problems and difficulties, as well as its intensified efforts on reform and innovation. On this ground, MCC Group is walking in the forefront among the central enterprises in terms of capital operation, and presenting a marvelous prospect. This has given further confidence for ABC’s collaboration with MCC Group. It is necessary for ABC to work with large-sized central enterprises with good assets and development prospect, for instance, MCC Group. Both parties can undertake in-depth collaboration and complement each other's advantages in the fields of capital operation, bond issuance and overseas loan under domestic guarantee, so as to achieve common prosperity on a win-win basis, and promote the sustainable healthy development of both parties. He wished both parties to concentrate efforts on communication, hold a network symposium, make in-depth communication on projects of mutual interests and then undertake in-depth cooperation.
Then Wang Wei made a briefing on the corporate profile of ABC. He said, the total assets of ABC amount to RMB 16 trillion yuan, with over 23,000 subsidiaries in the whole country. It ranks No. 3 among the domestic banks, holds a position among the top 10 global Banks, ranks No. 47 among Fortune Global 500, as well as one of the Global Systemically Important Insurers (G-SIFI) which is fixed with a very high standard. In line with the implementation of the national strategy and the Global Presence Strategy of the central enterprises, ABC has accelerated its pace towards going-out program. ABC has lay emphasis on the layout in the whole world, and the current business is widely distributed in USA, Australia, Dubai, Singapore, Russia, Africa and South America.
Heads of relevant department of both parties were present at the meeting.
Guo Wenqing talks with Wang Wei
Group photo of both parties’ head present at the meeting
Venue of the meeting convened by both parties