The president of China Construction Bank Corporation (CCB), one of the country's leading commercial banks, announced yesterday that it intends to sell 1.32 billion H-shares in its Hong Kong public offer, which was due to be launched today.

Guo Shuqing told a press conference that the price range for each H-share for the initial pubic offer will be HK$1.90-2.40 and the gross proceeds of the global offer could be as high as HK$73.1 billion (US$9.37 billion) if the over-allotment option is exercised in full.

The Hong Kong offer would account for 5 percent of its global offer, he said, in which CCB plans to sell a total of 26.48 billion H-shares.

CCB is scheduled to be listed on Hong Kong Exchanges and Clearing Limited (HKEx) on October 27, after which Guo said it would be the first of the four major Chinese mainland state-owned commercial banks listed overseas.

The CCB's public offer is expected to set a new record for HKEx in terms of fund raising.

Guo stressed that the proceeds will be used to strengthen the company's capital base to support ongoing business.

CCB has 14,250 branches, and by the end of June it had 4.22 trillion yuan (US$522 billion) in total assets.

China International Capital Corporation, Morgan Stanley and CCB International Capital Corporation and Credit Suisse First Boston are the joint book runners for the global offering.

(Xinhua News Agency October 14, 2005)