Minsheng Bank targets $4 bln sale after HK IPO

Improved banking conditions spurred Minsheng to offer 3.32 billion shares in its Hong Kong IPO.

China Minsheng Banking Corp, the country's seventh-largest bank, plans to raise as much as $4.07 billion after setting a price range for its November Hong Kong listing, according to a term sheet obtained by Reuters on Nov. 8.

Minsheng, which is already listed in Shanghai, was the first listed non-state lender in China, and has never received government support in terms of carving out bad assets, as reported in Forbes.

Most of China's listed banks' controlling shareholders are the government or state-owned enterprises, while Minsheng has an almost zero government holding.

The mid-size lender, which will kick off a formal marketing roadshow on Monday, is offering 3.32 billion shares, or 15 percent of its enlarged share capital. There will be a greenshoe option to increase the issue by an additional 15 percent, or 498 million shares, the term sheet said.