SAS UNIT, SKANSKA IN CHINA HOTEL JOINT VENTURE
The <Scandinavian Airlines System>'s
SAS International Hotels unit and Skanska AB <SKBS.ST> of
Sweden are raising a 37 mln U.S. Dlr loan for their joint
venture hotel in China, loan lead manager DnC Ltd said.
    It said the loan will finance part of the cost of the 46
mln dlr SAS Grand Hotel Beijing in the Chinese capital. The
three other lead managers are DnC's parent company Den norske
Creditbank, Scandinavian Far East Ltd and its parent
Skandinaviska Enskilda Banken.
    Terms of the loan are being finalised and syndication is
expected to begin in about one month, DnC Ltd said.
    The recipient of the loan will be SAS Grand Hotel Beijing
Joint Venture Co Ltd, which is owned 50 pct by the China
International Exhibition Centre and 50 pct by the two Swedish
firms.
    Skanska will be responsible for the construction and SAS
International Hotels for the management of the hotel, which is
part of the International Exhibition Centre complex.
    Construction of the 400-room hotel will start after the
loan is signed. It is due to be opened in late 1989.
 REUTER
