China Construction Bank make 32 percent debut

Source: Stock Market Digital

Date :25/09/2007 14:52:55

There was slight disappointment for the CCB as it made its debut on the Shanghai bourse today.

Market flooding

On their first day of trading the bank fell short of expectations, prompting comments that a slew of share offerings may finally be beginning to sate investor demand for new bank investments.

Its shares climbed as high as 9.05 yuan, before closing at 8.53, a 32.25 percent rise from its initial offering price of 6.45.

"I'm quite satisfied with the share price." said CCB’s chairman Guo Shuqing.

Zhang Pan of Beijing-based TX Investment Consulting said:

Reasonable

"The opening price of 8.55 yuan is a bit lower than we had expected but is still reasonable.

"We are optimistic that it will rise over nine yuan, on expectations that CCB will be favoured by the domestic investors, given CCB's good performance on the Hong Kong market.

Mr. Guo mirrored this hopefulness, saying:

"What is even more important is that we have picked up thousands of domestic shareholders as we do 99 percent of our business domestically."

September 25, 2007

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