Postal Savings Bank of China Falls on Hong Kong Exchange as Stabilization Period Ends

(Beijing) — The stock price of the Postal Savings Bank of China (PSBC), newly listed in Hong Kong, has fallen about 7% in the past two days, after an IPO-banker-led stabilization period ended.

The Postal Savings Bank's shares closed at HK$4.41 (57 U.S. cents) on Tuesday, down 3.48% from Monday, in addition to Monday’s 3.36% fall.

The bank raised $7.4 billion, issuing 12.1 billion shares at its IPO in late September, the world's largest IPO in two years. It opened at HK$4.76 per share on September 28.

According to the bank's statement last week, the stabilization efforts undertaken by Goldman Sachs (Asia) LLC — essentially to keep the price above its IPO price — ended on Thursday.

Contact reporter Wu Gang (gangwu@caixin.com); editor Ken Howe (kennethhowe@caixin.com)