The issue is the largest shares placement of a listed Chinese bank in the last five years
Herbert Smith Freehills (HSF) has continued its work for a long-time client in China with a new massive H-share placement.
China Everbright Bank completed the issue and private placement of 5.8 billion new H shares on the Hong Kong Stock Exchange on 22 December after regulatory approval from the Chinese government was granted. The placement was made to China Everbright Group and the Overseas Chinese Town Enterprises Company, which injected close to US$4bn into the bank.
The placement is the largest shares issue by a listed Chinese bank in the last five years. It is also the second largest issue of shares by a listed bank in the Hong Kong market.
With the deal, HSF has continued its work for China Everbright, one of China’s largest commercial banks. The firm has had the bank as a client from soon after it listed in Hong Kong in 2013.
HSF also advised the bank on its RMB30bn issue of six-year convertible bonds, which was the largest convertible bonds issue in the world in 2017.
“While lending has flourished in China in recent years, fuelled by the soaring economy, the country's banking regulators have also tightened capital adequacy ratios,” partner Tom Chau said. “Many major Chinese banks, including China Everbright Bank, were in acute need of fresh capital as a result, and we're delighted to have helped them with this placement.”
Chau led the HSF team that advised on the private placement. He was assisted by senior associate Lawrence Wang.
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China Everbright Bank completed the issue and private placement of 5.8 billion new H shares on the Hong Kong Stock Exchange on 22 December after regulatory approval from the Chinese government was granted. The placement was made to China Everbright Group and the Overseas Chinese Town Enterprises Company, which injected close to US$4bn into the bank.
The placement is the largest shares issue by a listed Chinese bank in the last five years. It is also the second largest issue of shares by a listed bank in the Hong Kong market.
With the deal, HSF has continued its work for China Everbright, one of China’s largest commercial banks. The firm has had the bank as a client from soon after it listed in Hong Kong in 2013.
HSF also advised the bank on its RMB30bn issue of six-year convertible bonds, which was the largest convertible bonds issue in the world in 2017.
“While lending has flourished in China in recent years, fuelled by the soaring economy, the country's banking regulators have also tightened capital adequacy ratios,” partner Tom Chau said. “Many major Chinese banks, including China Everbright Bank, were in acute need of fresh capital as a result, and we're delighted to have helped them with this placement.”
Chau led the HSF team that advised on the private placement. He was assisted by senior associate Lawrence Wang.
Related stories:
Global firms work on Victoria’s largest-ever public transport project
Law firms will grow modestly in 2018
