ICBC requests lenders to propose for share issue

Lending splurge prompted the ICBC to ask investment banks' proposals to raise $12 billion.

Industrial & Commercial Bank of China Ltd. has asked investment banks to submit proposals for underwriting a planned issue of new shares that could raise $12 billion at current share prices, people familiar with the situation said.

China's largest lender by market capitalisation sent requests for proposals to investment banks on Friday, the people said. ICBC has asked banks to submit the relevant documents Tuesday and present their proposals Thursday.

The document didn't mention when the mandate will be given, but banks expect to be notified soon after the presentation.

The request for proposals didn't mention the expected size of the deal, nor the time frame for the offering.

ICBC is the latest of China's banks to announce major fund-raising plans after last year's lending binge—the key platform of the country's stimulus spending—caused capital levels to deteriorate.

View the full story in the Wall Street Journal.