Shrugging off a weak global economy, China's BOE Technology Group said on Saturday it would raise about 12 billion yuan ($1.76 billion) in a share sale to build a plant making liquid crystal displays, TehranTimes reported.
The 17.5 billion yuan project would involve one of the biggest single investments by a Chinese maker of LCDs, which are used in flat-screen televisions, computer screens and other electronic products.
BOE, already one of China's biggest LCD producers, said rising demand for electronics in China, and the fact that the country now relied largely on imports for its supply of large LCDs, would make the project profitable.
The company said it would place between 2.7 billion and 5.5 billion new shares, or as much as 167 percent of its current share capital, at a price of at least 2.20 yuan each with up to ten strategic investors and other buyers.
Money raised would be used to build the plant over 20 months in cooperation with the government of Hefei, capital of the eastern province of Anhui, and to replenish the company's working capital.
BOE's local currency shares last closed at 1.91 yuan, having plunged 85 percent this year because of a crash of the Chinese stock market and a worsening outlook for the global technology sector. ($1 = 6.82 yuan)