BOC rises on HK debut despite market fall

GOV.cn

Friday, June 2, 2006

Bank of China Limited (BOC) Chairman Xiao Gang (C) delivers a speech during the listing ceremony of BOC in south China's Hong Kong Special Administrative Region, June 1, 2006. The BOC was officially listed on the main board of the Hong Kong Exchange and Clearing Limited (HKEx) and the trading of the bank's H share began on Thursday. BOC is the second bank among the four biggest commercial banks listed in the Chinese mainland. [Xinhua Photo]

Bank of China Limited (BOC) Chairman Xiao Gang (L) exchanges souvenir with Hong Kong Exchange and Clearing Limited (HKEx) Chairman Ronald Arculli (R) during the listing ceremony of BOC in south China's Hong Kong Special Administrative Region, June 1, 2006. [Xinhua Photo]

The picture taken on June 1, 2006 shows the celebration for the successful listing of H share of the Bank of China Limited (BOC) in Hong Kong, south China. [Xinhua Photo]

Xiao Gang (C), chairman of Bank of China Limited (BOC), and Li Lihui (R), vice-chairman of BOC, celebrate the successful listing of H share of Bank of China Limited (BOC) in Hong Kong, south China, June 1, 2006. [Xinhua Photo]

Xiao Gang, chairman of Bank of China Limited (BOC), attends the celebration for the successful listing of H share of Bank of China Limited (BOC) in Hong Kong, south China, June 1, 2006. [Xinhua Photo]

Hong Kong shares closed down 1.34 percent on concerns over interest rate hikes in the United States, however, Bank of China Limited (BOC) rose 15.25 percent over the initial public offering (IPO) price of 2.95 HK dollars on their debut on Hong Kong Exchanges and Clearing Limited (HKEx) on Thursday.

The BOC share closed at 3.40 HK dollars with a traded volume of20.01 billion HK dollars (2.56 billion U.S. dollars). The traded volume accounted 37 percent of the Hong Kong stock market's total traded volume, setting a new record of the debut of newly listed companies.

The Hong Kong shares tumbled 212.62 points to close at 15,645.27 and the Hang Seng China Enterprises Index also went down 179.43 points, or 2.69 percent, to close at 6,486.47 on Thursday.

BOC, one of the four biggest commercial banks in the Chinese mainland, raised 9.7 billion U.S dollars in its IPO, the world's biggest in six years.

BOC offered a total of 25.57 billion HK share in its global offering, including initially 1.28 billion H shares for the Hong Kong public offering and 24.29 billion H shares for the international offering.

BOC is a leader in non-interest income and foreign exchange business with strong product innovation capabilities.

BOC has a total asset of 4,000 billion yuan (498.69 billion U.S. dollars). It has over 11,000 branches and 580 ATMs in the Chinese mainland and about 600 overseas branches and offices.(Xinhua)

Related story:

Bank of China listed in Hong Kong

Bank of China Limited (BOC) was officially listed on the main board of the Hong Kong Exchange and Clearing Limited (HKEx) and the trading of the bank's H share began on Thursday.

BOC is the second listed bank among the four biggest commercial banks in the Chinese mainland and the bank's initial public offering is the world's biggest of the kind in six years.

The debut share price was 3.15 HK dollars, 6.8 percent up over the initial public offering (IPO) price of 2.95 HK dollars.

At 11:00 a.m., the share price reached 3.325 HK dollars, 12.7 percent up over the IPO price, with a traded volume of 8.39 billion HK dollars (1.76 billion U.S. dollars).

BOC Chairman Xiao Gang said at the bank's listing ceremony at the HKEx that the BOC's IPO is one of the most successful IPO programs in the international capital market, which indicated the international investors' confidence in China's long-term economic prosperity and acceptance of the bank's century-old brand.

HKEx Chairman Ronald Arculli said BOC's successful listing reflects Hong Kong's status as an international financial hub, adding Hong Kong is making efforts to attract more companies to list in Hong Kong.

BOC offered a total of 25.57 billion H shares in its global offering, including initially 1.28 billion H shares for the Hong Kong public offering and 24.29 billion H shares for the international offering.

The bank's IPO has received warm response globally. After the bank's IPO by May 23, the application volume for the bank's IPO exceeded 76 times in Hong Kong, 20 times for international offering.

Xiao Gang said, as the oldest and one of the best-known commercial banks in China, BOC has an extensive overseas branch network, a solid customer base and a universal banking platform.

He said BOC is a leader in non-interest income and foreign exchange business with strong product innovation capabilities. The overall listing of the bank in Hong Kong opened another exciting chapter of the Bank's hundred-year history. (Xinhua)

Related information:

Please click the following links for the IPO allotment result of Bank of China Limited (Stock code: 03988).

Bank of China website:
http://www.bankofchina.com
Allocation results enquiry phone line:183 3883

HKEx IPO results website:
http://www.iporesults.hkex.com.hk

For HKEx's website, please click here. (hkex.com.hk)

====== A-Z Index of China's Major Banks ======

Agricultural Bank of China