China's CCB says parent Huijin backs rights issue

SHANGHAI, June 21 (Reuters) - China Construction Bank (601939.SS) (0939.HK), the world's second-largest lender by market value, said on Monday that its state-owned parent Central Huijin would fully participate in its rights issue.

CCB's statement of Huijin's support, issued to the Shanghai Stock Exchange, comes ahead of a shareholder meeting on Thursday that will vote on whether to approve the $11 billion fundraising plan.

CCB Chairman Guo Shuqing had said last month that the bank may push pack its capital-raising to early next year due to uncertain market conditions. [ID:nTOE64J05Q]

CCB is 12 percent owned by Bank of America (BAC.N) and 6 percent owned by Singapore state investor Temasek [TEM.UL].

Huijin, an investment arm of China's sovereign wealth fund, had said early in May that it would back multibillion dollar fundraising plans by China's big state-run banks, which are replenishing their capital after a lending boom last year in support of the government's economic stimulus efforts. [ID:nTOE642042]

The fund-raising plans have weighed on the stock market, however, where the benchmark index .SSEC has fallen more than 20 percent this year and is one of the worst-performing major world markets. (Reporting by Samuel Shen and Jason Subler; Editing by Edmund Klamann; )