Everbright Bank H-Share Listing Accepted By SFC

Yesterday (May 4th) evening, China Everbright Bank (601818.SH) announced that

H share issue

Everbright Bank said in a quarterly report recently released that preparations for H-share issue and listing are steadily advancing.

Prior to that, in April 22nd, Everbright Bank announced that the company had received an official reply from the CBRC and agreed that the company issued the first public offering of H shares and listed in Hongkong, with a scale of not more than 12 billion shares, and the funds raised to supplement the bank.

In a quarterly report, Everbright Bank reiterated the purpose of H-share listing. "In order to achieve sustained and healthy business development, further expand financing channels, consolidate capital base, enhance the image of the international market, enhance the core competitiveness and safeguard the interests of the old shareholders, the company began preparations for the issuance and listing of H-shares since the beginning of 2011."

According to the issuing plan announced by Everbright Bank, the initial issuance scale of H shares is no more than 10 billion 500 million shares, and the excess allotment right (green shoe) mechanism with no more than 1 billion 500 million shares of the bookkeeper is awarded. The total issuance scale is no more than 12 billion shares.

All the funds raised will be used to replenish core capital and raise capital adequacy ratio.

According to the analysis of state securities, the listing of H shares of Everbright Bank will meet the capital demand of the company over the next 3 years, and the continuous expansion of the scale and stable growth of its performance will be guaranteed.

Capital adequacy ratio declined in the first quarter

According to the quarterly report of Everbright Bank, the bank's capital adequacy ratio was 10.73% in the first quarter of 2011, down 0.29 percentage points from the end of last year, and the core capital adequacy ratio was 8%, which was 0.15 percentage points lower than the end of last year.

In the first quarter, the bank achieved a net profit of 4 billion 870 million yuan, an increase of 27% over the same period last year.

The operating income reached 11 billion 150 million yuan, an increase of 31.1% over the same period last year, of which 9 billion 250 million yuan net interest income was realized, an increase of 36.9% over the same period last year.

The basic earnings per share were 0.12 yuan, an increase of 9.09% over the same period last year.

Everbright Bank said that the increase in net interest income was mainly due to the gradual increase of interest earning assets and net interest rate, and the net interest income increased to 82.9% in operating income. The net income of commission and commission was 1 billion 910 million yuan, an increase of 51.6% over the same period last year, and the proportion of operating income increased to 17.1%.

At the end of the reporting period, the total amount of non-performing loans of Everbright Bank was 5 billion 740 million yuan, 90 million yuan lower than the end of last year, the rate of bad loans was 0.70%, 0.05 percentage points lower than the end of last year, and the provision coverage rate of bad loans was 329.52%, which was 16.14 percentage points higher than that of the end of last year.

Changjiang Securities commented that the company's past performance improvements mainly come from scale growth, interest rate rise and fee income growth.

The scale of expansion after financing is sustainable, and the growth of intermediary business will be guaranteed.

The company's profit in 2011 and 2012 will be 18 billion yuan and 22 billion 200 million yuan respectively, corresponding to 2011's dynamic P / E ratio of 8.58 times and dynamic market rate of 1.62 times.

Yesterday, Everbright Bank reported that it closed at 3.82 yuan / share, unchanged from the previous trading day, and the P / E ratio was 7.94 times.