Kingway has secured a loan to help expand its business, but remains shy of its reported borrowing target.

The brewer, which is the second largest in China's Guangdong Province, said yesterday (8 November) that it has secured a HK$200m (US$25.6m) loan that will help with business expansion and working capital. The name of the lender was not disclosed.

The bank loan, which is on a 48-month term, is conditional on either Guangdong Holdings or Heineken-APB (China) holding at least 51% of Kingway. Guangdong already controls 52%, while Heineken-APB hold 21%.

Last month, local reports claimed that Kingway had invited seven banks to consider a HK$400m loan over four to five years.

Heineken-APB is a joint venture between Asia Pacific Investment (API) and Asia Pacific Breweries. API is a holding company jointly-owned by the Dutch brewing giant and Singapore-based conglomerate Fraser and Neave.