Japanese retail chain AEON Co. has reportedly set the price for its new share offering, which will raise up to JPY196.72 billion (US$1.675bn).

It follows news earlier this month that Aeon is considering issuing shares in the company to help fund two acquisitions.

According to Dow Jones Newswires, the retailer said it has set its public offering price at JPY2,704 per share, a 2.03% discount to the retailer’s closing stock price of Y2,760.

Aeon will issue up to 76.3m shares globally, helping Aeon expand its number of outlets in Japan and China and pursue its merger and acquisition strategy, reported Dow Jones.

The news agency said Aeon will use JPY146.72bn to open and enlarge outlets in Japan, and JPY30bn to help buy stakes in Daiei Inc. and Daiei group supermarket operator Maruetsu Inc.

On 13 October, just-food reported that Aeon had entered into exclusive talks to acquire a 15% stake in Daiei from holding company Marubeni.