State-owned Postal Savings Bank of China raised $7.4 billion in the world’s biggest initial public offering in two years, but the deal priced at the lower end of expectations and was heavily reliant on cornerstone investors. Seeking to bolster its balance sheet and fund lending, the bank initially sought as much as $8.1 billion in the Hong Kong listing, counting on its network of more than 40,000 branches and low level of non-performing loans to attract investors. But it had to pare back the size of the offering as some investors balked at paying valuations higher than domestic rivals. PSBC priced 12.1 billion new shares at HK $4.76 ($US 0.61) each, after marketing the offering between HK $4.68 and HK $5.18 per share, according to Reuters.
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