Hitachi plans convertible issue

TOKYO: Hitachi Ltd, Japan's biggest electronics firm by sales, will raise up to $4.6 billion to shore up its capital, joining a scrum of Japanese firms tapping equity markets before a possible economic slowdown.

Hitachi, which is headed for its fourth straight annual loss, said it will raise up to 416 billion yen after fees, issuing 318 billion yen worth of shares and convertible bonds worth 100 billion yen.

The announcement yesterday came as its shares headed for their biggest single-day slide in six months after sources told Reuters about the public stock issue, Hitachi's first in 27 years.