08
CITIC Envirotech Ltd.
Annual Report
2015
Dear Shareholders,
On behalf of the Board of Directors, it is my pleasure to
present to you the annual report of CITIC Envirotech Ltd.
(“CEL”, “Company”, “Group”) for the financial period
from 1 April 2015 to 31 December 2015.
The Company witnessed a new milestone this year when
CITIC Environment Investment Group Co., Ltd (“CITIC
Environment”) and KKR China Water Investment Holdings
Ltd (“KKR”) became major shareholders of the Company
in April 2015 through a Voluntary General Offer. The last
few months saw a period of consolidation where strong
partnership and co-operation was forged between the
Company and the new shareholder, CITIC Environment.
As CITIC Limited’s platform for all water-related
businesses, CEL was able to make good headway during
the year in expanding its asset portfolio and membrane
manufacturing capabilities. It also strengthened its
advanced membrane technology systems to reinforce its
position as a market leader.
In the coming year, CEL will further leverage on its strong
track record and core expertise by engaging in strategic
and large-scale merger and acquisition activities to
expand its asset portfolio, particularly in the chemical and
petrochemical sectors and innovative water technology.
Following the successful launch of the Company’s
Medium Term Notes (MTN) in April 2015 and Perpetual
Securities Program in November 2015 where CEL raised a
total of close to $500 million, CEL will continue to explore
various funding options to lower its cost of funding and
optimize the capital structure of the Company. CEL will
also explore various options to improve the public float
and hence the liquidity of its share trading volume with
the objective of bringing more value to its shareholders.
In the international arena, opportunities abound for the
Company to expand its footprint outside China under
the One-Belt-One-Road initiative. As the flagship water
CHAIRMAN’S MESSAGE
