The Agricultural Bank of China (ABC) will launch a share holding limited company before Spring Festival (January 26, 2009) in preparation for an eventual stock exchange listing, according to a report in China Business News.
The China Business News source said the precise launch date and top management appointments are still under discussion.
ABC has spun off almost all its 817.9 billion yuan non-performing assets. According an unnamed ABC staff member, his branch finished the spin-off of its non-performing assets in November.
ABC Vice President, Pan Gongsheng said in October that non-performing assets would be transferred to a common fund set up by the bank's joint owners, the Ministry of Finance and the Huijin Investment Company, a subsidiary of China's sovereign wealth fund. "ABC will use its future earnings and cash recovered from bad assets to repay the common funds and the cost of reform," said Pan.
For more details, please read the full story in Chinese:
http://www.china-cbn.com/s/n/000002/20081224/020000096418.shtml
(China.org.cn December 24, 2008)
