Mazda plans ¥96 billion share sale, sees less loss

Mazda Motor Corp. plans to raise up to ¥96 billion through a share sale as the carmaker reported a smaller than predicted first-half loss.

The company will sell as many as 363 million shares, it said Monday.

Mazda, whose stock has gained 24 percent this year, follows All Nippon Airways Co., Nomura Holdings Inc. and Mizuho Financial Group Inc. in raising cash through selling shares. The carmaker posted a preliminary loss of ¥26 billion, compared with a predicted ¥50 billion loss.

"Mazda needs money to survive," said Koichi Ogawa, chief portfolio manager at Daiwa SB Investments Ltd. "It also needs funds to develop more fuel-efficient cars."

Goldman Sachs Group Inc., Nomura Holdings and Daiwa Securities SMBC Co. will manage the share sale.