The company intends to use the proceeds from the private placement to purchase nuclear power assets from China Power Investment Group.
China Power Investment Group is expected to buy shares worth CNY2.5bn ($390m) from Shanghai Electric in the private placement, reports Reuters.
The company will issue about 1.83 billion shares to a maximum of ten investors at CNY5.21 ($0.81) floor price per share.
China is intending to build 30 nuclear reactors and plans to develop its nuclear power sector more efficiently in future.
