Money

China's largest lender completes dual rights issue

(Xinhua)
Updated: 2010-12-24 10:13

BEIJING - Industrial and Commercial Bank of China (ICBC), China's largest lender by market value, announced Thursday that it has completed its 44.9 billion yuan($6.75 billion) rights issue in Shanghai and Hong Kong.

The dual-listed lender said in a statement to the Shanghai Stock Exchange that it had raised HK$13.04 billion ($1.68 billion) from the Hong Kong portion of its rights issue by selling 3.74 billion shares at a price of HK$3.49.

Related readings:  ICBC extends $1.5b credit to post-Expo construction  ICBC opens new branch in Japan  ICBC chief sees China tightening policy further  ICBC eyes expansion in Greater Mekong Sub-Region

The Beijing-based bank said it had sold 11.3 billion shares at 2.99 yuan in the Shanghai market, which was 99.72 percent subscribed and had raised 33.67 billion yuan in late November.

The ICBC said the fund raising aimed to replenish its capital base.

The bank's core capital adequacy ratio stood at 9.33 percent by the end of September this year, while its capital adequacy ratio was 11.57 percent. In the first three quarters of this year, the ICBC saw net profits up 27.1 percent year-on-year to 127.8 billion yuan.

Shares of the bank closed flat at 4.18 yuan in Shanghai and was down 0.35 percent to HK$5.7 in Hong Kong.