8 Jul 2010

China's banks in huge fund-raising push

1:03 pm on 8 July 2010

The stock market float of the Agricultural Bank of China has become one of the most keenly watched initial public offerings this year.

The flotation, on both the Shanghai and Hong Kong Stock Exchanges, is aimed at selling a 14% stake in the bank for about $23 billion, making it the largest public listing ever.

It is part of a $42 billion fund-raising effort by China's four biggest lenders, designed to boost their capital bases, the BBC reports.

The Bank of China says it plans to raise $8.9 billion by issuing new shares in Hong Kong and Shanghai.