BoCom steals lead on rivals with $4.84 billion rights issue

The rights issue, which will comprise both A- and H-shares, comes just ahead of Agricultural Bank of China's dual listing in Shanghai and Hong Kong which is expected to raise at least $22 billion.

Bank of Communications, China's fifth largest lender in terms of assets, has stolen a lead on several of its larger Chinese rivals by announcing details of a rights issue that could raise up to Rmb33.071 billion $4.84 billion. The offering, which will be targeted at holders of both its A- and H-shares, will kick off immediately with Thursday being the last trading day when investors can buy the H-shares if they want to gain access to the rights.

The timing is somewhat surprising since most market watchers had expected that the only bank that would be allowed to issue new shares ahead of Agricultural Bank of China's massive initial public offering in July would...

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