Four major Chinese state banks to raise 520 bln yuan via A-share issuance

 China's four major state-owned commercial banks on Sunday announced plans to raise a combined 520 billion yuan (about 72.5 billion U.S. dollars) through the issuance of A-shares targeting specific investors.

The four commercial banks -- Bank of China, China Construction Bank, Bank of Communications, and Postal Savings Bank of China -- published their plans through the Shanghai Stock Exchange.

According to their plans, Bank of China aims to raise no more than 165 billion yuan, China Construction Bank no more than 105 billion yuan, Bank of Communications no more than 120 billion yuan, and Postal Savings Bank of China no more than 130 billion yuan.

All four banks have said that the raised funds, after deducting issuance-related costs, will be used to replenish their respective core tier-1 capital. ■