Bank of China (HKG:3988, SHA:601988) has completed a private placement of A-shares totaling 165 billion yuan to China's Ministry of Finance, according to a Shanghai Stock Exchange filing on Friday.
The ministry subscribed to 27.8 million shares in the Chinese lender at a price of 5.93 yuan apiece. The ministry committed to a five-year lock-up period for the subscribed shares.
Of the total proceeds, 27.8 billion yuan will be allocated to paid-in capital, and 137.1 billion yuan will go towards capital reserve.
BOC International Securities and CITIC Securities served as joint sponsors and joint lead underwriters for the offering.
The development comes less than three months after China's Ministry of Finance said it would inject 500 billion yuan into the country's "Big Four" banks amid efforts to bolster the country's financial sector.
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