CSR Seeks To Raise $1.7B In Share Sale

China South Locomotive & Rolling Stock is planning to sell shares worth $1.7 billion.

China South Locomotive & Rolling Stock (CSR) is planning to sell shares worth $1.7 billion, Reuters reports. The shares will be sold to CSR’s parent, China South Locomotive and Rolling Stock Industry (Group) and the Social Security Fund, adds CapitalVue. The rail vehicles manufacturer intends to use $255.08 million of the sale proceeds to build trains for China’s high speed railway network, $80.38 million to boost innovation capacity and the remaining $423.59 million to replenish working capital. The parent will subscribe to $927.57 million worth of the private placement, while the Social Security Fund will invest $772.97 million in the private placement.

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