Shanghai Auto plans to raise $1.5 billion in stock sale
Shanghai Automotive Motor Corp. said on Thursday it will raise up to 10 billion yuan ($1.5 billion) through a share placement.
SAIC, which operates manufacturing ventures with General Motors Co. and Volkswagen AG, will issue new shares to no more than 10 select investors, including its state parent.
It will issue the shares at no less than 11.47 yuan per share, somewhat lower than the closing price of SAIC's existing stock, which closed at 12.05 yuan on June 18.
In its stock exchange filing, the automaker said it will use the money to fund its own brand car and commercial vehicle projects.
