Mazda Motor Corp (7261.T) plans to raise 170 billion yen ($2.1 billion) in funds, 100 billion yen of which will be through a new share issue, public broadcaster NHK said on Tuesday.

Battered by the strength in the yen and wanting to invest in a new plant in Mexico, the automaker will receive 70 billion yen through subordinated loans from banks, including Sumitomo Mitsui Financial Group (8316.T) and the Development Bank of Japan, NHK said.

NHK did not say whether the capital raising would be via an issue of common or preferred stock.

A Mazda spokesman said the company was checking on the report.

($1 = 79.4700 Japanese yen)

Source :in.reuters.com