China Wealth Fund To Buy US$400 Million Longyuan IPO Shares - Sources

HONG KONG -(Dow Jones)- China's sovereign wealth fund, China Investment Corp., has agreed to buy US$400 million worth of shares in China Longyuan Power Group Corp.'s initial public offering, two people familiar with the situation told Dow Jones Newswires on Tuesday.

Longyuan Power plans to list in Hong Kong Dec. 10, the people said. It is seeking to raise up to US$2.6 billion from the IPO, a person familiar with the situation said Monday.

Longyuan is China's largest producer of electricity generated by wind power. It is the renewable-energy arm of China Guodian Corp., one of China's five biggest state-owned power generators by capacity.

Morgan Stanley (MS) and UBS AG (UBS) are handling the IPO.

-By Yvonne Lee, Dow Jones Newswires; 852-2802-7002; yvonne.lee@dowjones.com

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(END) Dow Jones Newswires

November 23, 2009 22:05 ET (03:05 GMT)

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