IRC (HKG:1029) plans to raise HK$326 million via a 1-for-2 rights offering, according to a Hong Kong bourse filing Friday.

Shares of the iron ore miner fell over 8% in late-morning trade Monday.

The company plans to sell nearly 639 million rights shares at HK$0.51 each to raise funds for repaying its debts.

The shares represent 50% of the company's issued share capital and 33.3% on an enlarged basis.

Unsold shares will be offered to external investors, the company said.