Chinese tech giant Alibaba Group is seeking to raise around HK$12 billion ($1.53 billion) through exchangeable bonds to boost investments in its cloud infrastructure and global commerce operations, the company said on Thursday.

Alibaba announced $1.5B bond offering for AI and cloud expansion, exchangeable for shares of Alibaba Health. Expected to close July 9.

Alibaba Group is looking to raise up to $1.53 billion in exchangeable bonds, partly to fund the expansion of its cloud computing infrastructure. Investors will be able to later exchange the bonds for shares in Alibaba Health, while the bonds will not pay interest over time.