China's debt-clearing agency planning IPO

China Cinda Asset Management is calling on bankers to submit proposals for an initial public offering in Hong Kong, The Wall Street Journal reported, citing anonymous sources. Cinda is one of a series of companies created by the Chinese government in the 1990s to take on the bad debt held by Chinese banks at the time. The IPO is expected to come in the fourth quarter at the earliest, with many of the banks that handled the IPOs of China’s big lenders vying to run the offering. The IPO is expected to raise about US$2 billion.