People’s Insurance Company (Group) of China (PICC), parent company of the nation’s largest non-life insurer, has announced that it plans to sell an estimated US$2 billion worth of shares in mainland China to fuel its expansion plans.
This planned listing comes over four years since the company had its US$3.1 billion IPO in Hong Kong in December 2012. PICC said on Tuesday that it wants to sell a maximum of 4.6 billion shares in the Shanghai stock exchange, pending approval from shareholders and government regulators.
The deal, which is seen to fetch US$2 billion, is equivalent to 10% of PICC Group’s enlarged share capital after the offering, reports
Reuters. The insurer said that it plans to use the proceeds of the deal to fund its further expansion in the region.
Earlier this year, PICC’s vice chairman Wang Yincheng, was reportedly arrested due to allegations of “serious disciplinary violations,” a byword for corruption in China.
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