Ssangyong Motor

SEOUL, Oct. 25 (Yonhap) -- SsangYong Motor Co., the South Korean unit of Indian carmaker Mahindra & Mahindra Ltd., said Thursday it will raise 50 billion won (US$44 million) in a rights issue by February to secure operating capital. 

On Thursday, SsangYong Motor held a shareholders' meeting at its plant in Pyeongtaek, just southwest of Seoul, to approve the fund-raising plan. The company's board of directors has yet to decide on details, such as the number of shares and share price, to complete the rights issue by Feb. 24, a company spokesman said. 

The planned capital increase is mainly intended to secure funds to develop new vehicles, he said. 

SsangYong Motor plans to launch the updated version of the Rexton Sport SUV and an all-new compact SUV in the domestic market next year. 

The company is scheduled to release its third-quarter earnings results Friday. 

This file photo shows the main gate of SsangYong Motor's plant in Pyeongtaek, just southwest of Seoul. (Yonhap)