SEOUL, May 13 (Reuters) - South Korean chemical and

battery material maker, POSCO Future M, said in a

filing on Tuesday it would issue new shares to raise around 1.1

trillion won ($775 million) for facility and operation funds as

well as making investments.

The proceeds would be used to expand the production

capacity of its cathode joint venture with General Motors ( GM )

in Canada, among others.

Its parent POSCO Holdings ( PKX ) said in a statement

that it would acquire all of the new shares assigned to the

company in proportion to its stake of 59.7% in POSCO Future M

worth 525.6 billion won ($369.72 million).

($1 = 1,421.6000 won)