China Merchants HK rights issue multiple times covered-IFR

HONG KONG, Sept 25 Wed Sep 25, 2013 9:20am EDT

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HONG KONG, Sept 25 (Reuters) - China Merchants Bank, the country's sixth largest lender, received a solid response to its 1.74-for-10 H-share rights issue, with the book multiple times covered, according to two sources, Thomson Reuters IFR reported.

The lender raised HK$7.95 billion ($1.03 billion) from the sale of 680.4 million H shares. The price was set at HK$11.68, or at a deep discount of 19.11 percent to the pre-deal spot.

China Merchants Bank earlier this month raised 27.52 billion yuan ($4.49bn) from the sale of 2.96 billion A shares on the same basis.

CICC, Citigroup, Goldman Sachs and UBS were joint global co-ordinators on the H-share rights issue, and joint bookrunners with China Merchants Securities and CMB International. CICC and Goldman Sachs Gao Hua Securities were joint leads on the A-share portion, while China Merchants Securities was financial adviser. (Reporting by Farah Master; Editing by Louise Heavens)

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