State-owned People’s Insurance Company of China Group (PICC), one of the country’s largest insurers, plans to raise US$5 billion (S$6.1 billion) to US$6 billion in an initial public offering in Hong Kong and Shanghai, IFR reported citing two sources with knowledge of the plans.
China International Capital Corp (CICC), HSBC and Credit Suisse were hired to handle the deal, said IFR, a Thomson Reuters publication. More banks are expected to be added to the roster later, IFR said.
PICC’s offering comes amid an expected flurry of activity in the financial services industry over the coming months as companies look to raise funds to bolster their balance sheets.
Around US$25 billion in share offerings in Hong Kong and China could come to the market over the next 12 months from insurers alone, Credit Suisse estimated in a report last week.
PICC, the parent of China’s largest property insurer PICC Property & Casualty Co , had submitted an IPO application to the State Council in May, the China Securities Journal reported on Friday.
The company started roadshows around the world to look for strategic investors in the offering.