On the evening of June 28, the Postal Savings Bank of China (PSBC) ushered in new progress in its A-share listing: China Securities Regulatory Commission disclosed PSBC’s A-share prospectus on its official website. According to its prospectus, PSBC plans to issue no more than 5.172 billion A shares (no more than 6% of the total share capital after the A shares are issued), which does not include any shares that may be issued under the over-allotment option.
After its H-share listing in 2016, PSBC’s A-share listing process has been attracting much attention. The official disclosure of its A-share prospectus means that PSBC has taken an important step forward towards its A-share listing. Industry insiders expect that the fund-raising of PSBC is expected to become the largest A-share IPO this year. At the same time, as PSBC is the youngest State-owned commercial bank, its A-share listing is a milestone for its development, and will be the finale of the "A+H" listing of the six large State-owned banks.
Zhang Jinliang, Chairman of PSBC, said at the 2018 Annual Results Announcement, “PSBC is promoting the IPO of its A shares in an active and orderly manner. This will help further improve the corporate governance system, open up both domestic and international capital markets, enhance the ability to resist risks, and provide strong support for future business development.”
It is said that China International Capital Corporation Limited (CICC) and China Post Securities Co. Ltd. (China Post Securities) will act as joint sponsor institutions for the issuance and listing, while CICC, China Post Securities, UBS Securities and CITIC Securities will be its joint principal underwriters. The funds to be raised at the issuance will be used to enrich the capital after deducting the issuance expenses, and will help PSBC further enhance its ability to serve the real economy and prevent risks.