Four firms including PRC powerhouses King & Wood and Commerce & Finance, as well as international players Morrison & Foerster and Freshfields Bruckhaus Deringer have all played roles on China Citic Bank Corporation (CITIC) A+H share rights issue raising a total of US$4 billion.
The bank raised US$1.28 billion through the H share portion of its offer and US$2.73 biliion through it A share offering. The proceeds of the rights issue will be used by the bank to strengthen its capital base. CITIC is China's seventh largest lender in terms of total assets and its largest shareholder is China’s largest financial conglomerate, CITIC Group.
The joint underwriters were China International Capital Corp (CICC) and Citic Securities.
King & Wood advised CITIC on PRC law and Freshfields Bruckhaus Deringer provided U.S. law and Hong Kong law advice. Freshfields's team was led by corporate partner Calvin Lai and newly-promoted counsel Richard Wang.
The joint underwriters turned to Commerce & Finance on PRC law. Morrison & Foerster provided the underwriters with U.S. and Hong Kong law advice. Charles Chau led Morrison & Foerster’s legal team.
Chau said that the completion of this deal is a “true testament to the determination and perseverance of all the parties involved in this offering ...despite the difficult market conditions.”
According to Bloomberg, China Everbright Bank Co. has delayed a share sale in Hong Kong for a second time in less than two month, and China Shipping Nauticgreen Holdings Co. has also put its $200 million initial public offering in Hong Kong on hold. ALB
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