Sany Heavy Industry unit plans HK listing

    SANY Heavy Industry Co. plans to launch an initial public offering (IPO) of an excavating machinery unit in Hong Kong, in a bid to fund its business expansion and bolster its overseas presence.

    In an exchange filing yesterday, the Shanghai-listed construction machinery company said its wholly owned unit Sany Heavy Machinery (China) Ltd. plans to offer up to 30 percent of its enlarged share capital. The filing didn’t provide the targeted number of shares on offer or the fundraising plan. The IPO proposal is subject to approvals from shareholders of Sany Heavy Industry and Hong Kong Exchanges and Clearing Ltd., Sany Heavy Industry said.

    Bank of China plans to sell bonds

    BANK of China Ltd. (BOC) plans to raise 30 billion yuan (US$4.9 billion) worth of bonds to replenish its capital Friday.

    The bond, which complies with tough new global capital rules known as Basel III rules, is thought to carry more risk than regular debt. Holders of Basel III-compliant bonds would be first to lose money if the issuer’s national regulator determined that the lender can’t survive or that the bank would need a government bailout to stay afloat.

    China Life buys small stake in TPG

    PRIVATE equity firm TPG reached a deal to sell a small ownership stake in itself to China Life Insurance Co., people familiar with the matter said yesterday.

    The deal, which could be disclosed in coming days, calls for China Life to pay US$250 million for an ownership stake in TPG of between 2 percent and 5 percent, the sources said. The proceeds will augment cash the buyout firm received from other foreign investors three years ago. China Life Insurance (Overseas) Co. and China Life Investment Holding Co. are the China Life entities that together made the investment in TPG, said a source familiar with the deal.

    Bank of Shanghai plans private placement

    BANK of Shanghai is planning a private share placement of up to 700 million shares, its second such issuance in a year, to meet capital requirements needed for a planned initial public offering (IPO), a newspaper reported yesterday.

    The bank has not set a price for the issuance but last year’s placement was set at 13.9 yuan per share and if set at the same price it would raise 9.7 billion yuan (US$1.6 billion), the 21st Century Business Herald reported.