SHANGHAI (Reuters) – An executive with the Agricultural Bank of China on Wednesday dismissed as “nonsense” reports that its government shareholders were pushing it to postpone its planned share issue due to weak market conditions.
The Hong Kong-based South China Morning Post on Wednesday cited two unidentified sources involved in the offering as saying AgBank’s two state shareholders — the Ministry of Finance and Central Huijin — wanted AgBank to postpone its listing as it was having a difficult time drumming up interest in the sale.
SHANGHAI (Reuters) – Bank of Communications (BoCom) (3328.HK: Quote, Profile, Research) said on Monday it could still meet its capital needs after slashing its fundraising plan to take account of weak markets, in a move that bodes ill for rival AgBank’s giant IPO.
BoCom said the rights issue plan, cut by 20 percent on Sunday, will suffice for the next three years and has fully taken into account investors’ interests in a weak stock market.
SHANGHAI (Reuters) – Chinese banks could be headed for a crisis similar in some ways to what their Wall Street counterparts faced two years ago, as a chunk of the $1 trillion they made in dubious infrastructure loans to local governments looks set to sour.
And though the banks have lined up tens of billions of dollars in new capital-raising, they could be forced to raise billions more if China’s property market sees a sharp downturn.
SHANGHAI, June 1 (Reuters) – Bank of China (601988.SS: Quote, Profile, Research) (3988.HK: Quote, Profile, Research), which is raising 40 billion yuan ($5.9 billion) by selling convertible bonds in Shanghai, said on Tuesday it may consider new fundraising plans after the debt issue.
“We will study and determine further fundraising plans, after taking into account comprehensive elements such as the bank’s capital adequacy ratio levels, shareholder opinions and market conditions,” Board Secretary Zhang Bingxun told an online roadshow for its convertible bond issue, for which subscriptions take place on Wednesday.
SHANGHAI, May 31 (Reuters) – Industrial and Commercial Bank of China (ICBC) (1398.HK: Quote, Profile, Research), the world’s biggest lender by market value said on Monday it was seeking acquisition opportunities to expand business in the Middle East and North Africa, hoping to benefit from booming trade between China and the Gulf region.
ICBC, which currently has branches in Dubai, Doha and Abu Dhabi, is studying the feasibility of setting up operations in Kuwait and Saudi Arabia, and will consider buying assets in other countries in the Middle East and the North Africa region, said Tian Zhiping, head of ICBC’s Middle-East operations.
SHANGHAI, May 21 (Reuters) – China’s shares rebounded on
Friday from a more than one-year intraday low, as bargain hunting
in property shares from recent lows helped offset uncertainties
spurred by the European debt crisis.
The Shanghai Composite Index <.SSEC> closed up 1.1 percent at
2,583.5 points, after having briefly fallen as low as 2,482.0
points, or 2.9 percent lower, in early trade.
SHANGHAI (Reuters) – All U.S. stocks will probably be subject to so-called circuit breakers by the end of this year, Duncan Niederauer, chief executive officer of stock exchange operator NYSE Euronext <NYX.N><NYX.PA>, said on Thursday.
The circuit breakers, a mechanism to halt trading in a stock for five minutes if it falls more than 10 percent within five minutes, will initially apply to stocks in the Standard & Poor’s 500 index <.SPX> under a proposal by the Securities and Exchange Commission as regulators try to avoid a repeat of the mysterious May 6 market slide that quickly spiraled out of control.
SHANGHAI (Reuters) – Ford Motor <F.N> and its China venture partners, Mazda Motor Corp <7261.T> and Chongqing Changan Automobile Co, are seeking Chinese government approval to end their three-way tie up, two sources said on Thursday.
Ford and Mazda both plan to set up their own separate joint ventures with Changan <000625.SZ>, a move which will give the automakers more leeway to design their own China strategies, the sources with direct knowledge of the scheme told Reuters.
SHANGHAI, May 12 (Reuters) – French car maker PSA Peugeot
Citroen <PEUP.PA> aims to start building its third China plant
with partner Dongfeng Motor by the end of this year, two sources
said on Wednesday, as it moves to more than double its share in
the world’s largest auto market.
PSA Peugeot, which already operates two facilities in China
with partner Dongfeng Motor Group Co <0489.HK>, wants to sell up
to 400,000 cars in the country this year, approaching its annual
capacity of 450,000 units.
SHANGHAI (Reuters) – China’s central bank said on Sunday it would raise banks’ reserve requirement ratios by half a percentage point from May 10, the third such move this year, as it seeks to fend off property and consumer inflation.
Following are potential market implications from the move, including for expectations that the People’s Bank of China (PBOC) could act soon to let the yuan start strengthening again against the dollar: