ICBC seeks to raise $12.9b in capital

Industrial and Commercial Bank of China (1398.HKG, 601398.SHA) plans to raise RMB80 billion (US$12.9 billion) through the sale of 450 million preferred shares on the mainland and 350 million preferred shares offshore, Bloomberg reported, citing a Shanghai stock exchange statement on Friday. The proposed sale follows that of Ping An Bank (000001.SHE), which last week said it would raise as much as RMB30 billion in a sale of preferred shares and common equity. Stricter capital requirements introduced by the government in 2013 mean China’s four biggest banks will face a capital shortfall of US$87 billion under the new rules by 2019, according to Mizuho Securities Asia.