Huawei in Talks With Banks to Raise $2 Billion

Huawei is in talks with several international banks as part of an effort to raise about $2 billion through loans and bond sales outside China, people familiar with the matter said. The fundraising is partly aimed at showing that the Chinese company can still get international banks on board for its future financing plans, despite U.S. sanctions.

It is unclear how many of the banks will actually come on board and how much Huawei will end up raising, the people said. While Huawei has worked with international banks for many years, the U.S. government’s attacks on Huawei could make some lenders reluctant to get too involved because of the potential risk of being associated with the company. That makes the outcome of the fundraising an important signal for Huawei’s ability to expand.