Geely International, a Chinese private auto manufacturer states that it will issue HK$2.586 billion ($334 million) in convertible bonds and warrants to a private equity under Goldman Sachs through directional introduction. Also in the statement, Geely says the fund is to finance the company's daily expenditures and potential procurement plans while denying it is for the acquisition of Volvo.
Geely, who has recently become active in the international market, is not perceived as being enthusiastic about domestic mergers. Earlier this month, in the company's first official statement about the intention, Geely operational CEO Gui Shengyue in Hong Kong mentioned that the company is actively involved in procuring Volvo.
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(China.org.cn by Maverick Chen, September 25, 2009)