The China Securities Regulatory Commission (CSRC) will review plans by the Bank of China (BoC, 601988.SH, 3988.HK) and China Construction Bank (CCB, 601939.SH, 0939.HK) to raise a combined US$20 billion in rights issues in Shanghai and Hong Kong, Dow Jones Newswires reported. BoC said it plans to raise up to US$9 billion while CCB announced plans in April that it would raise up to US$11 billion. Proceeds will be used to raise the banks’ capital bases after last year’s lending bonanza. Bank of America Merrill Lynch (BAC.NYSE) said Chinese banks raised an aggregate US$104 billion from the capital markets over the January-August period.
Categories