The Bank of China, one of China’s big four banks, raised HS$75.43 billion (US$9.73 billion) this week as it became the latest Chinese firm to list in Hong Kong in what was the world’s biggest IPO since 2000.
Another big Chinese bank, the Industrial and Commercial Bank of China (ICBC) is expected to follow suit with its own US$12 billion IPO later this year.
These banks are following in the footsteps of last year’s biggest IPO – the US$8 billion listing of China Construction Bank in Hong Kong (see here).
While some in China continue to complain that the family silver is being sold off to foreigners (who have already invested over US$13 billion in the banks prior to IPO, and who are sitting on some handsome profits – see here), the continuing commercialization of the banks (and other state-owned enterprises) is likely to benefit from the capital injection and improved governance that comes with listing.
See news source:
Bank of China Raises $9.73 Bln, Near Top of Range (Update1)
Bloomberg – USA
May 24 (Bloomberg) — Bank of China Ltd., the second of the “big four” Chinese state lenders to go public, raised HK$75.43 billion ($9.73 billion) after …