China Agbank to apply for $30b IPO
Tuesday, 4 May 2010
BEIJING, May 3 (Reuters): Agricultural Bank of China, one of the country's big four lenders, plans to file applications this week for its dual listing in Shanghai and Hong Kong.
The planned IPO, the world's biggest ever, could raise as much as $30 billion, according to the sources briefed on the bank's plan.
The sources also said Monday that the bank would seek cornerstone investors this week for an IPO in July or even earlier.
Investment banks including Deutsche Bank and JPMorgan have invited their top clients including some US hedge funds and China-focused private equity funds to meet top management of Agbank to discuss possible IPO investments.
"After China Construction Bank announced its rights issue plan, Agbank definitely felt more hurried to push its IPO plan forward," said one of the sources.
"We all know the market window could be closed anytime within the next few months so whoever can sell their IPO first wins," he added.
The sources declined to be identified as they were not authorized to speak to the media.
Cornerstone investors are institutional investors who agree to subscribe part of an IPO ahead of its public listing, with a commitment to a certain lock-up period, usually six months.
The planned IPO, the world's biggest ever, could raise as much as $30 billion, according to the sources briefed on the bank's plan.
The sources also said Monday that the bank would seek cornerstone investors this week for an IPO in July or even earlier.
Investment banks including Deutsche Bank and JPMorgan have invited their top clients including some US hedge funds and China-focused private equity funds to meet top management of Agbank to discuss possible IPO investments.
"After China Construction Bank announced its rights issue plan, Agbank definitely felt more hurried to push its IPO plan forward," said one of the sources.
"We all know the market window could be closed anytime within the next few months so whoever can sell their IPO first wins," he added.
The sources declined to be identified as they were not authorized to speak to the media.
Cornerstone investors are institutional investors who agree to subscribe part of an IPO ahead of its public listing, with a commitment to a certain lock-up period, usually six months.