China Construction Bank (CCB; 601939.SH, 0939.HK) plans to raise about US$11 billion through share placements and rights offers in Hong Kong and Shanghai, Bloomberg reported, citing sources with direct knowledge of the matter. CCB would raise up to US$6.59 billion in a private placement in Shanghai and a further US$4.39 billion through a rights offer in Hong Kong. The sources said CCB’s plan had already received State Council approval, but could be changed depending on market conditions. Industrial and Commercial Bank of China (ICBC; 601398.SH, 1398.HK) recently said it planned to raise up to US$3.66 billion through a convertible bond issue. China’s banks have been eager to raise capital following a huge expansion of credit in 2009.
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