CEB trims IPO to US$3 billion

China Everbright Bank Co., Ltd has lowered expectations for its forthcoming IPO in Hong Kong.

Sources said CEB expects the IPO to raise from US$2.5 billion to US$3 billion in recognition of the worldwide economic strains that continue to sour investor sentiment. The bank had originally planned to make US$6 billion from the IPO but postponed a roadshow originally scheduled for June 27 because of flagging market interest.

Bank chairman Tang Shuangning said CEB was looking at the proper timing for a listing in Hong Kong. The Hong Kong stock exchange has given initial approval for CEB’s IPO.

"Since Hong Kong shares are rebounding, we are actively considering the Hong Kong offering," he said.

Tang said CEB has gotten initial approval from the Hong Kong stock exchange for the initial public offering. CEB will price the new shares at reasonable levels, he said.

A mid-sized commercial bank, CEB has 30 branches and 426 banking outlets throughout China and one representative office in Hong Kong. The bank employs some 17, 000 persons.