REG - HSBC Holdings PLC - BOCOM Proposed Issuance of A Shares

HSBC HoldingsAnnouncement

31/03/2025 14:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250331:nRSe9598Ca&default-theme=true

RNS Number : 9598C  HSBC Holdings PLC  31 March 2025

 

 

 

 

 

 

31 March 2025

 

 

 

HSBC HOLDINGS PLC

BOCOM PROPOSED ISSUANCE OF A SHARES

 

 

Bank of Communications Co., Ltd ('BoCom') announced yesterday that an
Extraordinary General Meeting will be held on 16 April 2025 for the purpose of
considering a share issuance plan. BoCom expects 13,777,267,506 new A ordinary
shares to be issued at the initial subscription price of RMB8.71 (equivalent
to approximately HKD9.41). This share issuance is part of a series of policy
actions announced by the People's Bank of China, Ministry of Finance, National
Financial Regulatory Administration and China Securities Regulatory Commission
on 24 September 2024, which are aimed at promoting growth and economic
development.

 

Assuming 13,777,267,506 A Shares are issued at the initial subscription price,
the share issuance would result in HSBC's BoCom stake being diluted from
19.03% to 16.06%, if the share issuance is approved. The accounting impact of
any dilution from this share issuance will be recognised upon completion,
treated as a material notable item and therefore have no impact on HSBC's
dividend. In addition, because of the regulatory capital treatment of HSBC's
investment in BoCom, the accounting impact of any dilution on the HSBC Group's
CET1 capital ratio is expected to be insignificant. HSBC will continue to
recognise its share of BoCom's profit or loss and BoCom remains HSBC's
flagship China associate. Further details will be shared with HSBC's 1Q25
earnings announcement on 29 April 2025.

 

 

 

ends/more

 

 

Investor enquiries to:

 

Neil Sankoff                  +44 (0) 20 7991
5072                 investorrelations@hsbc.com
(mailto:investorrelations@hsbc.com)

Yafei Tian                     +825 2899 8909

 

 

Media enquiries to:

 

Press Office                 +44 (0) 20 7991
8096                 pressoffice@hsbc.com
(mailto:pressoffice@hsbc.com)

 

 

Note to editors:

 

HSBC Holdings plc

HSBC Holdings plc, the parent company of HSBC, is headquartered in London.
HSBC serves customers worldwide from offices in 58 countries and territories.
With assets of US$3,017bn at 31 December 2024, HSBC is one of the world's
largest banking and financial services organisations.

 

 

ends/all

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCPKDBKBBKDPNN