Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

TRENDING
Huawei’s Ren Downplays Chip Shortage, Touts AI for Industrial Value
LATEST
Huawei’s Ren Downplays Chip Shortage, Touts AI for Industrial Value
China’s AI Chip Leaders Ride IPO Wave Amid Drive for Tech Self-Sufficiency
Tsing Micro Raises Over 2 Billion Yuan in State-Backed Round as China Ramps Up AI Chip Push
Synthetic Biology at Scale Could Reshape Food and Materials Systems, Expert Says
ByteDance in Talks With Smartphone Makers to Embed AI Assistant
Lenovo Executive Urges AI Startups to Take On Tech Giants
Infinigence AI Raises 500 Million Yuan to Expand Heterogeneous Computing Platform
Alibaba’s Quark Unit Launches AI Glasses Powered by Qianwen Model
Pony AI Plans to Triple Robotaxi Fleet to 3,000 by 2026 as Revenue Jumps
China’s Semiconductor Software Push Gains Traction Amid U.S. Curbs
Alibaba Scales Back Retail Spending, Dismisses AI Bubble Fears
Huawei Slashes Flagship Phone Price Amid Slowing Shipments
China’s CXMT Takes Aim at Global Leaders With High-End DDR5 Memory Chips
Alibaba’s Profit Plunges 72% on Costly Foray Into Instant Retail
Xiaomi, Founder Stem Stock Rout With $115 Million Buyback
Analysis: Soaring Legacy Chip Prices Spark Windfall — and Risk — Across Supply Chain
Alibaba, Ant Race to Catch Rivals in China’s AI App Boom
New Flight System Targets ‘Blind Spots’ in China’s Low-Altitude Economy
Cover Story: The AI Boom’s Unsettling Paradox
AI Keeps China, U.S. From Decoupling Despite Trade Tensions, Insiders Say
Citic Bank to Jump on Perpetual Bonds Bandwagon With $5.9 Billion Issue

By Wu Yujian and Han Wei / Mar 28, 2019 02:07 AM / Finance

Photo: VCG

Photo: VCG

China Citic Bank Corp., one of the 12 joint-stock lenders that operate across the country, is planning to sell as much as 40 billion yuan ($5.9 billion) of perpetual bonds, the bank said Tuesday while reporting strong results for 2018.

Chinese lenders are stepping up to issue perpetual bonds to supplement capital since regulators flashed a green light for such long-term borrowing to alleviate mounting capital pressures on the banking sector amid slowing economic growth. This form of borrowing doesn’t have a fixed maturity date and could remain outstanding perpetually.

In January, Bank of China became the first lender to win approval to raise $40 billion by selling perpetual bonds.

According to a company report, Citic Bank’s capital adequacy ratio stood at 12.47% at the end of 2018, 0.82 percentage point higher than the previous year.

Citic Bank reported its fastest profit growth in five years for 2018, boosted by the bank’s expansion in retail banking. Net profit rose 4.6% to 44.5 billion yuan. The bank’s total assets expanded 6.9% to 6 trillion yuan at the end of 2018, the Citic Bank said.

Related: As ‘Big Four’ Banks’ Capital Dwindles, Regulator to OK Perpetual Bonds

Share this article
Open WeChat and scan the QR code