SHANGHAI, July 1 Eleven Chinese banks are
planning for initial public offerings, their draft prospectuses
showed, the first lenders to push ahead with listing plans since
China Everbright Bank Co Ltd debuted in 2010.
In the draft documents posted on the China Securities
Regulatory Commission website on late Monday, nine banks said
they plan to list on the Shanghai stock exchange while two are
seeking to list on the smaller Shenzhen bourse.
None of the 11 small and medium-sized lenders disclosed
their fundraising target but all said they would use the funds
to increase capital.
Many smaller Chinese banks are seeing a spike in
non-performing loans, and a decline in deposits, as the economy
slows and competition from online finance firms increases.
IPOs picked up in early June after a four-month hiatus
followed a brief flurry of activity in January and February
which ended a year-long halt. Analysts said the securities
regulator had halted IPOs in late 2012 to allow it to refine
listing rules and to avoid draining money from existing stocks.
Among the banks planning to list is the Bank of Shanghai,
which had reportedly been seeking a Hong Kong listing. The bank
had initially planned to list on the mainland in 2008, but
approvals were delayed.
Bank of Shanghai said it plans to sell 1.2 billion shares
and will use funds to improve its capital adequacy level and
enhance competitiveness. Guotai Junan Securities and Shenyin &
Wanguo Securities will underwrite the deal.
Others seeking a Shanghai listing include Wuxi Rural
Commercial Bank Co Ltd, Shengjing Bank Co Ltd, Jiangsu Wujiang
Rural Commercial Bank Co Ltd, Bank of Jiangsu Co Ltd, Jiangsu
Changshu Rural Commercial Bank Co Ltd, Bank of Guiyang Co Ltd,
Bank of Hangzhou Co Ltd and Bank of Chengdu Co Ltd.
Jiangsu Zhangjiagang Rural Commercial Bank Co Ltd and
Jiangsu Jiangyin Rural Commercial Bank Co Ltd said they plan to
list on the Shenzhen stock exchange.
The IPOs are subject to regulatory approval.
In 2010, the Agricultural Bank of China, the third largest
lender, raised a combined $22.1 billion in the country's biggest
IPO in Shanghai and Hong Kong, while China Everbright Bank Co
Ltd listed in the same year.
(Reporting by Shanghai Newsroom; Editing by Kazunori Takada and