Peugeot to Pursue $4.1 Billion Capital Increase

PSA Peugeot Citroen is considering a capital increase of 3 billion euros ($4.1 billion) to raise funds for new models and expand in growth markets.

Dongfeng Motor Corp. may first contribute funding through a sale reserved for Peugeot’s Chinese partner, with a rights offering to follow that Dongfeng would also participate in, the Paris-based automaker said in a statement. The French state may also buy shares in both sales, the automaker said.