Nanjing-based Huatai Securities has unveiled plans to launch the biggest ever share placement by a Chinese brokerage firm.
On 30 December, Huatai Securities announced that it plans to raise up to 28 billion yuan via a placement of shares with existing A-shareholders at a ratio of three new shares for every 10 shares held.
Huatai said that all funds raised will be used to supplement the company’s capital funds as well as operating capital, and to increase the company’s market competitiveness and risk-resistance capability.
The announcement from Huatai arrives in the wake of four successful share placement by Chinese brokerages in 2022, by CITIC Securities (22.4 billion yuan), Orient Securities (12.7 billion yuan), Caitong Securities (7.1 billion yuan) and China Industrial Securities (10 billion yuan).
