Shanghai Pudong may offer H-shares
7 November 2006
Shanghai Pudong Development Bank may be planning to raise US$1.28 billion from an initial public offering in Hong Kong, sources told the South China Morning Post. The offering would come after a planned secondary A-share sale. But Shen Si, secretary of the bank's board told the newspaper that "currently, we don't have any concrete plan [for an H-share listing]." Shanghai Pudong is the second-largest domestically listed lender in China. It plans to sell 700 million A-shares this month to raise US$1.2 billion. The bank's A-shares rose 39% this year and closed US$1.72 on Monday. Citigroup, which owns a 4.2% stake in the lender, plans to raise its holding to 19.9% after the sale. China Galaxy Securities and Shenyin & Wanguo Securities are arranging the offering.