BEIJING Hualian Hypermarket yesterday announced a plan to raise nearly 1.3 billion yuan (US$192 million) through a private share replacement to fund expansion and increase working capital.

The supermarket chain operator said it would issue 181 million shares at 7.18 yuan each to three investors, including parent Beijing Hualian Group Investment Holding Co.

About 707 million yuan from the share sale would be used to open 39 new stores nationwide, focusing on Beijing as well as second-tier cities such as Nanjing and Hefei.

Another 155 million yuan will be spent on renovating 31 existing stores and the rest in developing its own-brand products, a direct sourcing system for agriculture products and boosting stores' operating capital.