China Pacific Insurance (Group) Co., Ltd. (CPIC and SHSE: 610601) recently gained regulatory approval to raise at least CNY 23.52 billion via issuing not more than one billion shares at not lower than CNY 23.52 apiece in an IPO on the Stock Exchange of Hong Kong.

The proceeds will be mainly used to replenish capital and fuel expansion.

CPIC reported a net profit of CNY 2.36 billion for the first half of 2009, diving 57.1 percent year on year. The net profit fall should be mainly attributed to dropped premium revenue and increased expenditures on marketing of traditional participating insurance products. Earnings per shares reached CNY 0.31, down 56.9 percent. Return on investment totaled CNY 8.96 billion, dropping 38.9 percent. Net assets hit CNY 51.76 billion, up 6.2 percent from the end of last year. Net assets per share rose 6.2 percent from 2008 end to CNY 6.72 while return on equity slid 6.4 percentage points year on year to 4.57 percent.