BRIEF: ZTE looks raise $11 billion after US ban

Xu Ziyang

China’s ZTE Corporation is said to be looking at raising up to $11 billion to stabilise the company after the US stopped its operations due to infractions committed in the country.

According to Financial Times, the company applied for a CNY30 billion ($4.7 billion) credit line from Bank of China and $6 billion from the Shenzhen branch of China Development Bank, a policy lender.

Data compiled by FT claimed that ZTE’s recent woes are estimated to have cost the vendor $2 billion in revenue, added FT.

FT reported that the company must pay its fine within 60 days of agreeing on the settlement (struck on 8 June) and complete its management changes within 30 days.