ArcelorMittal South Africa Ltd. is planning to raise 3.5 billion South African rand through a borrowing-based facility as part of a capital raising plan, Bloomberg News reported April 6, citing an emailed statement from the steelmaker.

The ArcelorMittal unit did not say how it will use the funds but has previously said it was looking to refurbish existing facilities in South Africa and that an environmental cleanup will need investment.

In 2016, the steel major raised 4.5 billion rand through a rights issue and reduced its debt to 290 million rand.