Stocks News
- CITIC Securities to list new shares
Date: 4-Sep-2007 Sources: (Shenzhen Daily)
CITIC Securities, China's biggest listed brokerage, will list 333.73 million additional local-currency A shares on the Shanghai Stock Exchange today.
The shares, sold to both institutional and retail investors last month, raised US$3.3 billion in the country's third-biggest share sale this year and drew 228 billion yuan (US$30 billion) in subscription funds, or about 10 times the stock on offer.
The issue, which represents about 10 percent of the company's expanded share capital, helped it enlarge its total outstanding shares to 3.32 billion shares, CITIC Securities said in a statement.
Proceeds would be used to finance expansion into areas such as futures trade and private equity, said the brokerage, an arm of China's biggest financial conglomerate, CITIC Group.
CITIC Securities, which already owns two fund management arms, is buying Shenzhen Bull Futures Co. to expand into futures trade as the government plans to introduce stock index futures as soon as this year. The brokerage also plans to set up a private equity unit that invests in companies before their initial public offerings.
Rivals including Everbright Securities Co. and Orient Securities Co. are lining up for initial public offerings for similar expansions and some are setting up outlets overseas.
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