Postal Savings Bank of China Wins CSRC Approval to Issue Up to 500 Million Preferred Shares Overseas
Liao Shumin
/SOURCE : Yicai
Postal Savings Bank of China Wins CSRC Approval to Issue Up to 500 Million Preferred Shares Overseas

(Yicai Global) Sept. 15 -- China Securities Regulatory Commission has approved several domestic joint-stock banks to issue preference shares outside China in order to raise capital. Postal Savings Bank of China Co. [HKG:1658] has become the latest such lender to garner approval, it said in a statement Sept. 13..

The bank plans to issue up to 500 million preferred stocks overseas, with a face value of CNY100 (USD15.28) each. It may issue shares in batches with an interval of at least three months between each two issues, and with each issue making up no less than 25 percent of the approved quota, meaning the shares may be listed on the Hong Kong Stock Exchange.

Bank of Qingdao Co. [HKG:3866] got the green light from the regulator a week ago, allowing it to issue 80 million preferred stocks outside China. It later confirmed it will issue non-cumulative US dollar-denominated perpetual preferences shares at USD20 each in September, with a dividend yield of 5.5 percent. It hopes to raise USD1.2 billion (CNY7.85 billion).

Jilin Jiutai Rural Commercial Bank Corp. [HKG:6122] also announced plans late last month to issue up to 50 million preferred stocks overseas in a bid to raise up to CNY5 billion (USD768 million).

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Keywords: Postal Savings Bank of China , Offshore Preference Shares , Overseas Share Issuance , CSRC , Hong Kong Stock Exchange , Bank of Qingdao Co. , Jilin Jiutai Rural Commercial Bank Corp.