Ten Chinese Banks Raise ¥350 Billion This Year

10银行再融资3482亿 次级债撑起半壁江山

Google translated clips:
Refinancing scale of about 348.2 billion yuan in total, there are more than 200 billion yuan of funds from the amount of subordinated debt. Although not included in core capital, but for some great capital of commercial banks in terms of the pressure better than nothing, to a certain extent, ease the money hungry.

The banks aren't in trouble, but their capital ratios are down this year:
As of the end of September, Nanjing Bank 's capital adequacy ratio of 12.2%, compared with the previous year dropped 2.78 percentage points, compared with a decrease of 1.46 percentage points year; core capital adequacy ratio of 9.81%, compared with the previous year dropped 2.32 percentage points, compared with 0.92 percentage point decline in .

Ningbo Bank capital adequacy ratio was 12.52%, Tier I capital adequacy ratio and core capital adequacy ratio were 9.61%, down 0.3 percentage points and 0.23 percentage points respectively compared to the end of June this year.

Huaxia Bank , Bank of Communications , Industrial Bank , Shanghai Pudong Development Bank , China Everbright Bank 's capital adequacy ratio were 9.81%, 12.24%, 10.89%, 11.14%, 9.65%, compared with year decline was 1.22 percent, 0.44 percent, 0.21 percentage points, 0.06 percentage points and 0.02 percentage points.

The article goes on to chronicle all of the secondary equity offerings, IPOs, and debt issuance by these banks.


Ratings Debate Centers on China Banks
The different approach by Fitch compared with how the bonds are evaluated by Standard & Poor’s or Moody’s centers on their expectations of government support for China’s state-owned banks.

All three of the main international agencies rate Basel III-compliant subordinated bonds lower than senior debt. However, Fitch starts notching down its credit score from the issuer’s credit rating — a measure that is adjusted higher for Chinese banks to account for potential government support.

Moody’s and S&P, in contrast, start from the bank’s standalone credit rating, which does not account for government support.

China sovereign fund Huijin completes purchase of bank shares
China's government has completed its purchase of shares in the country's four biggest banks, marking the end of the latest round of interventions aimed to support its chronically weak stock market.

Central Huijin Investment Co, which holds Beijing's investments in state-owned financial firms, finished buying shares of Industrial and Commercial Bank of China , China Construction Bank , Agricultural Bank of China , and Bank of China , the four banks said in stock exchange filings on Monday.

Huijin bought its stakes through purchases of freely floating common shares on the Shanghai stock exchange, meaning that the banks' registered capital levels are unaffected.

In June, the four banks announced that Huijin planned to increase its equity stake through purchases on the stock exchange and that the purchases would occur gradually over a period of no more than six months. The latest announcements mark the end of the planned purchases.

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