ICBC plans to raise up to US$6.6b
By Maggie Zhang |
July 30, 2010, Friday
|
Print Edition
Print Edition
THE Industrial and Commercial Bank of China plans to raise up to 45 billion yuan (US$6.6 billion) as the last of the country's big-five banks to replenish capital.
The world's biggest bank in terms of market value proposed a rights issue of as much as 0.6-for-10 to existing shareholders, or up to 15.06 billion shares in Shanghai and 4.98 billion in Hong Kong, the lender said in a statement to the Shanghai Stock Exchange yesterday.
The plan, which has been approved by its board, is pending regulatory and shareholder approval. The bank will hold a shareholder meeting in Beijing on September 15 on the rights offer.
The rights offer is aimed to ensure healthy development of its business, boost competitiveness, increase its ability to handle risks and sustain profit growth, the bank said in the filing.
The bank's capital adequacy ratio, the main gauge of a bank's financial strength, fell to 11.98 percent as of March 31.
China's top banking regulator earlier said it requires a minimum capital adequacy ratio of 11 percent for major state-owned lenders.
But the market has speculated that the requirement was "unofficially" increased to 11.5 percent.
The bank is among a fleet of Chinese lenders to raise capital after banks gave out a record 9.6 trillion yuan (US$1.4 trillion) of new loans last year.
"This year's theme for banks is capital raising," said She Minhua, a Haitong Securities Co analyst.
Earlier this month, the Agricultural Bank of China debuted on Shanghai and Hong Kong exchanges with a US$19.2 billion dual listing.
State-owned rivals the Bank of Communications, China Construction Bank and the Bank of China have already posted plans to raise capital.
The big-five could raise up to 417 billion yuan combined.
ICBC also plans to privatize Hong Kong-listed unit ICBC (Asia).
The bank will disclose more details after a review by regulators.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
