(Yicai Global) June 21 -- The Bank of Jiangsu, a provincial commercial lender, has been granted approval for an initial public offering on the Shanghai stock market. This is the first time in seven years that a small- to medium-sized Chinese bank has gone public.
It is hoped that through this listing the bank will be able to replenish its coffers and increase its competitiveness.
According to the bank's 2015 annual report, it had total assets of CNY1.3 trillion (USD197.68 billion) last year, up 24 percent from 2014, an after-tax net profit of CNY9.5 billion, up 9.26 percent from 2014, and a non-performing loan ratio of 1.43 percent, up 0.13 percentage point from early 2015.
Six other urban and rural commercial banks, the Bank of Hangzhou, Jiangsu Wujiang Rural Commercial Bank, Jiangsu Changshu Rural Commercial Bank, Bank of Shanghai, Bank of Guiyang and Wuxi Rural Commercial Bank, are also waiting to list on the A-share market.
A-shares are denominated in Chinese yuan and are traded on the Shanghai and Shenzhen stock exchanges. Only Chinese individuals and institutions can buy them.