Xiamen Tungsten (SHA:600549) 65.2%-owned subsidiary Fujian Jinlong Rare Earth plans to apply for a public offering on the Beijing Stock Exchange.
Fujian Jinlong Rare Earth, already trading on the NEEQ Innovation Level, aims to issue up to 319.7 million new shares to raise net proceeds of about 700 million yuan, according to a Sunday filing with the Shanghai bourse.
Proceeds will fund a permanent magnet production line upgrade in Changting and Phase II of a 5,000-ton annual capacity neodymium-iron-boron magnet project.
Shares of the tungsten carbide manufacturer were down 2% in recent trade.