(Updates with Ford's confirmation throughout and the latest stock movement in the fourth paragraph.)

Ford Motor (F) said Monday it will inject up to 4.4 billion euros ($4.77 billion) of new capital and finance a comprehensive business plan for its Ford-Werke unit in Germany.

The new financing will address the "over-borrowing" position of the German subsidiary and provide capital to support the business transformation and enhance "competitiveness," the automaker said.

The company will also end a financial support letter that has been intact since 2006, it said.

F shares were up 1.8% in recent Monday trading.

Price: 10.08, Change: +0.18, Percent Change: +1.79