By Yifan Wang

China Railway Group said it plans to issue up to 3.5 billion yuan ($491.9 million) worth of extendible bonds.

The bonds, to be issued in two types, will have initial maturity periods of three and five years, the state-owned construction company said.

It will issue the bonds to professional investors, as defined by Chinese regulations, and plans to list the bonds on the Shanghai exchange.

Proceeds will be used to repay interest-bearing debts and improve liquidity, China Railway said. 



  Write to Yifan Wang at yifan.wang@wsj.com