Agricultural Bank of China Ltd. plans to raise up to 100 billion yuan via a private placement of A shares.
The bank's board resolved to issue up to 27,472,527,469 A shares on a private placement basis to seven investors, according to a March 12 release.
The Chinese lender has yet to determine the final number of shares to be issued, as well as the issue price.
The proceeds from the issuance, after deducting the relevant issuance expenses, will be used to replenish the bank's common equity Tier 1 capital.
The issuance is subject to shareholder and regulatory approvals.
As of March 12, US$1 was equivalent to 6.33 Chinese yuan.
