Agricultural Bank to finalize cornerstone investor list next week price or less than 2.5 yuan

The recent weakness of the two markets, a light trade, has not yet come to a good trend, which may become the biggest obstacle to the upgrading of the Agricultural Bank's IPO valuation space.　　The gloomy forecast is that the 2.5-dollar Roadshow initial pricing "conjecture" or be lowered again.　　The latest news reporter learned that June 2, the top agricultural Bank of the country again went to a number of cities outside the country, and potential investors to negotiate, the implementation of investment shares, and from the start of the initial inquiry　　This is the first time in May after the low-key conduct of overseas road show, the top of the agricultural bank again with the international buyers head-on "confrontation", is expected to be the negotiations for the ABC IPO to finalize a detailed list of cornerstone investors and specific investment plans.　　A source from an ABC underwriter said that the H-share cornerstone investors will be finalised in Monday and around Tuesday.　　Lower pricing? From twice PB to 1.8 times times PB, and then to the recent analyst referral report given the "1.6 times times Pb, 2.5 yuan" road performance preliminary pricing, the market is constantly challenging ABC's psychological price bottom line.　　If the two market can not turn good, AgBank's hands of the "bargaining" chip has left geometry? In fact, it is still too early to determine the price of AgBank's issue, as the key factor in determining its final pricing is the result of a subsequent roadshow and the prevailing capital market conditions.　　Obviously, the latter is more uncertain.　　An investment bank in Hong Kong said the current domestic and foreign capital markets are not in good shape, which is not the best time for AgBank to launch, which has greatly affected the bargaining power of AgBank's IPO.　　June 2, Hong Kong stocks opened a low, up to the close, the Hang Seng index reported 19471.8 points, down 25.15 points, a decrease of 0.13%, the third consecutive day in a downward trend.　　The above people judged that Hong Kong stocks in the short term to the weak market shocks, the fastest release from Agricultural Bank of the time window-July-there are 1 months or so, short-term see no signs of a reversal, the market prospects for agbank pricing is not too optimistic. "At present, the listed banks are almost at the lowest level of the market since the listing, and in addition, the European debt crisis, financial institutions in Europe and the United States, tight positions, investment will and ability to invest in the decline, which has greatly affected their appetite for agricultural bank."　　"he said.　　The stock market is weak, and the market can choose a large number of investors, for AgBank's institutional buyers is precisely the bargaining chip. Earlier, the bank's underwriting analyst team issued a report to the agency, has given the ABC "1.6 Times Pb, 2.5 yuan" reference pricing, which is regarded as the bottom line of ABC's price, however, a source from AgBank, an underwriter, said, "The price of the cornerstone investors is less than 2.5 yuan."　　"The cornerstone Investor is on the eve of" the meeting, and AgBank is finalizing the H-share cornerstone investor.　　The Cornerstone investor list, the stake in the lock-in period, the investment plan and so on the dust settles, or for agbank external factors not too optimistic IPO prospects, lay confidence. Reporter June 2 learned that the Agricultural Bank of the high level on the day to depart again to Hong Kong, Singapore, Europe and the United States and other cities, and the agency castThe investor talks about the investment and shares with them and launches a preliminary inquiry.　　Earlier in May, AgBank had concentrated on a round of overseas advance roadshow, and the meeting with international buyers would finalize a specific investment stake and cooperation agreement. The cornerstone investors ' list will be finalised in Monday and around Tuesday, according to the underwriters ' sources.　　This detailed list and investment plan will appear in subsequent prospectuses.　　The source also said that at present, the Singapore government Investment Company (GIC) and the Middle East sovereign wealth fund, Kuwait Investment Authority has identified a stake in Agricultural bank, the latter investment at least 1 billion U.S. dollars. H-Share pre-inquiry and finalize cornerstone investors, AgBank will meet with domestic institutional investors in late June for a A-share pre-inquiry. According to the investment bankers said, ABC may be A, h to raise the proportion of funds to make a certain adjustment. "ABC plans to increase the share ratio, the ratio is expected to 1:1, and in the previous plan, Hong Kong equities than a shares."　　"he said. High savings rate selling point a mainland broker said AgBank's valuation could be somewhere between workers, CCB and BOC, with a slight discount of around 15% per cent, according to the prevailing market net rate.　　He said that if the next two-tier market is good, AgBank's IPO valuation has room for improvement.　　ABC must vigorously promote the "selling point" to give potential investors a dose of heart-pin in the event of market incompetence.　　The market's concern about the value of ABC's investment is that it is weaker than other listed banks, such as its management ability and profitability, especially the reform of the three agricultural departments has not found a convincing profit model for investors.　　"Selling points" may be from the Agricultural Bank of the county-wide business outlets, as well as the three rural business positioning search-policy concessions and macroeconomic guidance, or to benefit from the future of China's urban and rural economic development of synergy. Compared with other listed banks, ABC's advantage lies in the domestic branch of the most extensive network resources and capital cost advantages. "AgBank's savings account is more than 60%, the highest in the country, and the interest rate of deposits is obvious." This is a very competitive advantage in the current tense situation of banking credit.　　The broker said. The data obtained by the reporter show that AgBank's net profit of 2009 years is about 65 billion yuan, which grew more than 26%, faster than ICBC and CCB. At present, the bank has a capital adequacy ratio of more than 10%, the provision coverage reached more than 105%, non-performing loan rate of less than 3%.