Chinese citrus producer Dongfang has announced that it will use the A$39.2m raised in its listing on the Australian Securities Exchange (ASX) to double its land in China.
The second largest citrus producer in China will purchase 5,270ha in Jiangxi for A$106m in two separate deals, according to Reuters.
Dongfang listed on the ASX in October in a move that the company said would open up opportunities to not only expand its plantations in China, but also allow Dongfang to consider investments in Australia.
"We are delivering upon the expansion plans outlined within our IPO prospectus, and will seek further opportunities to grow within the world's largest agribusiness sector, China," said Dongfang executive chairman Hongwei Cai.
The company has 19 plantations in Jiangxi, and expects to harvest around 230,000 tonnes of citrus in 2015, with a forecast revenue gowrth of 17 per cent to A$176m.