CITIC Securities issues RMB 25 billion new shares

CITIC Securities Co. Ltd<600030>, the largest listed broker in China, launched a RMB 25 billion (US$ 3.31 billion) secondary share offering on Thursday to expand in Chinese capital markets.

According to the statement, the 333.73 million new shares were issued to both institutional and individual investors on Monday, and will soon be listed on the Shanghai bourse.

This is the third largest domestic share sales in China this year, and it would be snapped up by Chinese investors who viewed the stock as a barometer of the drastic share market, said some analysts.

The official Shanghai Securities News reported the offer raised up to RMB 228 billion (US$ 30.21 billion) in total in subscription.

The new offerings, about 10% of its expanded capital, would be priced at RMB 74.91 each, which is 52% higher compared with the last month. But it is a far cry from the closing price RMB 94.27 on Aug. 24, 2007.

CITIC Securities Co. Ltd. provides a wide range of financial services in China, including securities brokerage, securities investment, financial consultation services, underwriting of securities and asset management.