StanChart in AgBank IPO
Standard Chartered is set to invest $500m (£334m) in Agricultural Bank of China’s initial public offering in Hong Kong, becoming one of the institution’s major stakeholders.
AgBank hopes to raise more than $20bn in a Hong Kong and Shanghai float, in a listing
that is expected to value AgBank at a staggering $150bn.
Standard Chartered will buy just over two per cent of the new shares on offer, giving it a
stake of about 0.3 per cent in the enlarged bank.
The two banks this month signed an agreement to work together on a series of new business opportunities.
The bank, which is based in London but makes over four-fifths of its profits in Asia, aims to take advantage of AgBank’s extensive domestic network, in return providing its partner with access to its international footprint.
This could include access to capital markets, international trade corridors, financial markets and consumer finance sectors, and share information, research and staff training, Standard Chartered said.
AgBank is the last of China’s big four banks to list its shares and the first to do so without first bringing in a major foreign strategic investor.
StanChart in AgBank IPO
Standard Chartered is set to invest $500m (£334m) in Agricultural Bank of China’s initial public offering in Hong Kong, becoming one of the institution’s major stakeholders.
AgBank hopes to raise more than $20bn in a Hong Kong and Shanghai float, in a listing
that is expected to value AgBank at a staggering $150bn.
Standard Chartered will buy just over two per cent of the new shares on offer, giving it a
stake of about 0.3 per cent in the enlarged bank.
The two banks this month signed an agreement to work together on a series of new business opportunities.
The bank, which is based in London but makes over four-fifths of its profits in Asia, aims to take advantage of AgBank’s extensive domestic network, in return providing its partner with access to its international footprint.
This could include access to capital markets, international trade corridors, financial markets and consumer finance sectors, and share information, research and staff training, Standard Chartered said.
AgBank is the last of China’s big four banks to list its shares and the first to do so without first bringing in a major foreign strategic investor.