CCB Refinancing Would Meet Capital Need

China Construction Bank Corporation (CCB, SHSE: 601939), one of the Big Four state lenders of the country, November 3 held road shows for its A share placement, and vice president and CFO Pang Xiousheng said the bank's capital adequacy ratio would come to over 12 percent, meeting the capital demand in the coming two years.

The bank originally planned to raise more than CNY 75 billion from the additional share offering but finally determined to finance CNY 61.7 billion.

A CCB executive airs that the bank will make up the capital shortage to come up to regulatory requirements by taking the measures like enhancing capital efficiency, reducing risky assets and replenishing supplementary capital if there indeed will be a little capital need in the future.

Whether Bank of America will participate in the share allotment has been attracting attention, but the US lender has not made clear whether it is to buy or not. The vice president and CFO says that China Construction Bank has not been informed whether the alien shareholder will buy more shares.