Baidu Inc., owner of China’s biggest search engine, increased the size of a five-year loan to $2 billion from $1 billion, people familiar with the matter said.
The company, founded by billionaire Robin Li, has gotten commitments from 21 banks for the facility, according to the people, who asked not to be identified because they’re not authorized to speak publicly. Baidu aims to borrow the funds through a five-year syndicated facility for general corporate purposes, Tracy Hu, a media official at the firm, said in April.
China’s Internet giants have been tapping demand for “new economy” investments and raising more funds in debt markets, with the nation’s biggest e-commerce company Alibaba Group Holding Ltd. getting a $4 billion loan earlier this year. President Xi Jinping is backing new economic drivers as he cuts excess capacity in areas like steel and coal.
No comment was immediately available, Baidu’s Hu said when asked about the loan.