Gree Electric Appliances plans to issue bonds worth RMB 18 billion ($2.6 billion), following a similar move by its rival Midea, which late last month announced a plan to raise a similar amount of money through bond sales, reported Caixin.
Gree will offer ultra-short-term, short-term and medium-term bonds, with maturities ranging from nine months to seven years, the Shenzhen-listed company said in a notice on Sunday.
The money raised will be used to “replenish working capital, repay debts, (and) support project development,” according to the notice.
Gree’s latest fundraising plan follows the announcement late last month by rival Midea Group,which said it would raise up to RMB 20 billion through bond sales. Midea said at the time that the money raised would be used to meet the “development need in operations” and repay debts.