Japanese chip startup Rapidus is seeking to raise ¥100 billion ($696 million) from existing and new investors by issuing new shares to finance its chip development efforts.

Rapidus is gauging appetite for investments totaling ¥80 billion from existing shareholders including Toyota Motor, Sony Group, SoftBank and MUFG Bank, according to people familiar with the matter. It’s also seeking ¥5 billion each from Mizuho Bank and Sumitomo Mitsui Banking and another ¥10 billion from the Development Bank of Japan, the people said.

The proceeds will help finance the construction of Rapidus’ foundry in Hokkaido, along with billions of dollars’ worth of subsidies the startup’s slated to receive, the people said. Rapidus has asked shareholders and potential investors for a response by the end of this month, according to the people, who asked not to be named as the discussions remain private.