November 10 -- Shanghai Dazhong Public Utilities (Group) (600635.SH) plans to issue up to 1.8 billion yuan worth of corporate bonds, reports China Securities Journal, citing a company filing.

Of the total, 1.1 billion yuan will be used to repay debts, while the remaining will go toward the replenishment of working capital.

The bonds will have a term of six years, with floating coupon rates which will be paid twice a year.

Existing shareholders will not be given priority subscription rights.

The company said the bond issuance will optimize its debt structure, lower its cost of capital, enhance asset-liability management, and improve the efficiency of capital usage.