Yibin Bank (02596.HK), a city commercial bank based in Yibin, Sichuan Province, recently filed for its IPO and is expected to list on the Hong Kong Stock Exchange (HKEX) on January 13, 2024. CCB International and ICBC International serve as joint sponsors. Yibin Bank plans to offer 688.4 million H shares globally, accounting for 15% of its total issued share capital upon completion of the offering. Of the shares, 90% will be allocated to international offering, 10% to public offering, with an additional 15% over-allotment option. The offering price per share ranges from HK$2.59 to HK$2.72, with a board lot of 1,000 shares. The maximum expected fundraising amount is approximately HK$1.872 billion. Assuming the offering price per share is HK$2.65 (the median of the pricing range) and the over-allotment option is not exercised, Yibin Bank estimates total listing expenses will be around HK$74.3 million, including a 1.5% underwriting commission, discretionary fees (the allocation ratio between underwriting commission and discretionary fees is 65:35), HKEX listing fees, Securities and Futures Commission (SFC) transaction levies, HKEX transaction fees, Financial Services and the Treasury Bureau transaction levies, legal and other professional fees, printing and other miscellaneous expenses, etc. The net proceeds from Yibin Bank’s IPO will be approximately HK$1.75 billion based on the median offering price range, which will be used to strengthen its capital base to support sustainable business growth. The net proceeds will be used to replenish the bank’s Core Tier 1 Capital, and improve its capital adequacy ratio metrics, including Core Tier 1 Capital Adequacy Ratio, Total Tier 1 Capital Adequacy Ratio and Total Capital Adequacy Ratio. For this IPO of Yibin Bank, CCB International and ICBC International act as joint sponsors, overall coordinators and joint global coordinators. BOC International, CLSA and Zhongtai International serve as overall coordinators and joint global coordinators. Other underwriters include China Minsheng Securities, Mai Capital, Shenwan Hongyuan Hong Kong, North Securities, Futu Securities; PwC is its auditor; Global Law Offices and Clifford Chance serve as PRC counsel for the issuer and Hong Kong counsel for the issuer respectively; Commerce & Finance Law Offices and King & Wood Mallesons serve as PRC counsel for the underwriters and underwriters’ counsel respectively. According to the prospectus, post-listing shareholding structure of Yibin Bank is as follows: Wuliangye Group holds 16.99% of shares; Yibin Municipal Finance Bureau holds 16.988%; Yibin Cuiping District Finance Bureau holds 16.98%; Yibin Nanxi District Finance Bureau holds 14.40%; the remaining 19.642% is held by 34 other non-individual shareholders and 392 individual shareholders, while H-share public shareholders hold 15.00%. Yibin Bank was registered and established in 2006, formerly known as Yibin Urban Credit Cooperative founded in 2000. Its main business and service network are located in Yibin City, Sichuan Province. As of December 13, 2024, the branch network of Bank of Yibin includes 40 facilities (39 branches and 1 headquarters), covering Yibin and Neijiang. According to data from the Yibin Regulatory Office of the National Administration of Financial Regulation, as of December 31, 2023, Bank of Yibin is the largest bank in Yibin City in terms of total assets, and also the largest bank in Yibin City and the second largest city commercial bank in Sichuan Province in terms of registered capital. https://www1.hkexnews.hk/listedco/listconews/sehk/2024/1230/2024123000048_c.pdf © 2021 Meishun (Hong Kong) Management Consulting Co., Ltd. and Meishun (Hangzhou) Management Consulting Co., Ltd. All rights reserved. Meishun Meiyin (Hangzhou) Consulting Management Co., Ltd. is an onshore subsidiary of Hong Kong Meishun Management Consulting Co., Ltd. under the same actual controller. Both companies share the same ultimate controlling party, operate under unified Chinese management, and comply with the laws of Hong Kong and mainland China.