Big four make moves to issue tier two bonanza

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By Virginia Furness
07 Aug 2014

China’s biggest banks have ramped up their capital raising activities, targeting investors both on and offshore. Yet while their biggest need is for additional tier one (AT1), lenders are starting with tier two securities in a bid to aid price discovery, write Virginia Furness and Isabella Zhong.

Agricultural Bank of China, Bank of China (BoC) and Industrial and Commercial Bank of China have all set out plans in the last two weeks to issue a total of Rmb260bn ($42bn) of additional tier one preferred shares.

For the moment, however, they are more focused on raising ...

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