Molycorp May Raise $517.5 Million Selling Bonds, Shares

Molycorp Inc., the U.S. owner of the largest rare-earth deposit outside of China, may raise as much as $517.5 million selling shares and convertible bonds to help fund construction at its mine in California.

Molycorp will offer as much as $172.5 million of shares and as much as $345 million of convertible senior notes due in 2017, the Greenwood Village, Colorado-based company said in a statement today. It intends to use the proceeds to fund operating expenses, working capital and capital expenditures.