Citic to raise $322m in rights share issue

BEIJING - Citic Resources Holdings Ltd, a Chinese oil and coal producer with assets in Kazakhstan and Australia, is seeking to raise HK$2.5 billion ($322 million) through a rights issue to help fund expansion.

The company's stock fell the most in Hong Kong in more than two years after the former metal producer said it plans to issue 1.82 billion rights shares at HK$1.38 apiece on the basis of three rights shares for every 10 held. That's a 26 percent discount to the stock's closing price on Tuesday.

Citic Resources is seeking to almost double oil output by 2014 from last year to help supply the world's fastest-growing major economy.