Regional lender Xiamen Bank issued the prospectus for its listing as an A-share on 8 September, for the launch of the first A-share listing of a Chinese bank in 2020.
In addition to being the first A-share listing of a Chinese bank in 2020, the IPO of Xiamen Bank will also be the first listing of a municipal commercial bank from Fujian province, as well as the second listing of a Fujian province bank following the IPO of Industrial Bank Co..
According to the prospectus as of the end of June 2020 Xiamen Bank’s operating revenues were 2.711 billion yuan, for a YoY growth of 27% despite the adverse impacts of the COVID-19 pandemic.
Xiamen Bank’s non-performing loan ratio was 1.12% as of the end of the first half, while its provisions coverage ratio was 322.50%, for a sizeable increase since the end of 2019.
Xiamen Bank’s YoY net profit growth for the past three years has been 22.69%, 15.73% and 18.39% respectively. Net profits totalled 968 million yuan for the first half of 2020, 1.736 billion yuan in 2019, 1.415 billion yuan in 2018 and 1.223 billion yuan in 2017.
As of 30 June 2020 Xiamen Bank’s total assets were 265.9 billion yuan, for annual compound growth of 7.71% over the past three years.
Xiamen Bank was first established in 1980 by the municipal financial authority of Xiamen as well as 14 municipal credit sociteties.
In 2008 Taiwanese-backed lender Fubon Bank (Hong Kong) became an offshore strategic investor in Xiamen Bank, making Xiamen Bank the first municipal commercial bank in mainland China to be the recipient of Taiwanese investment.
In 2018 Fubon Financial (富邦金控) became the second largest shareholder in Xiamen Bank via a transfer of shares from Fubon Bank (Hong Kong).