China Minsheng to sell 2bn shares

7 February 2007

China Minsheng Banking Corporation - China's only listed private lender - is to raise up to $3.1 billion in a share sale, it has been announced.

The bank said that it planned to sell two billion shares to a small number of institutional investors in order to strengthen its core capital.

No more than ten institutional investors will be involved, the bank said, with each required to buy no fewer than 100 million shares each, and no more than 600 million.

Initially, Minsheng had unveiled plans to sell up to 3.5 billion shares, but cut that to two billion following a surge in share prices in response to the news.

Investors are expected to be enthusiastic about buying into Minsheng's growth, with the bank recently reporting a 40 per cent increase in net profits for 2006.

Become a bobsguide member to access the following

1. Unrestricted access to bobsguide
2. Send a proposal request
3. Insights delivered daily to your inbox
4. Career development