Foton Motor unveils share issue plan

Light truck king Beiqi Foton Motor said it planned to raise 1.1 billion yuan, (US$133 million) with a new issue of 200 million RMB-denominated Class A shares to expand production capability and facilitate integration with partner DaimlerChrysler. Although the price has yet to be fixed, the fund target suggests a share price of RMB 5.5 a share, a discount of more than 10% to the current stock price. The company said nearly a year ago that it hoped to sell a stake to DaimlerChrysler. Citigroup and UBS both hold small interests in Foton, the automaker said.