Deep development Restart 6.5 billion mixed debt issue chairman to ask for release

This thought that after the peace reorganization can release the capital regulation the deep development, because the ping an bank and the deep Development Merger's delay demo cannot replenish the capital, is falling into a new predicament. Following the announcement of refinancing by 3 banks such as Minsheng Bank, this week the market has also developed a plan to issue a mixed debt of not more than $6.5 billion. South reporters learned from the deep development parties that the issue of the mixed debt scheme was already in place in 2009, only because of the temporary shelving of a major asset restructuring scheme with Ping An bank, which was mainly taken into account the fact that the merger of Ping An bank and the deep development project would take some time to be approved,　　and the current capital adequacy ratio of deep development has seriously restricted the normal operation of the bank's operations. However, as mixed capital debt has long been halted by regulation, Xiaosuning, chairman of the Deep Development Board, advises regulators to release plans for a deep development of the capital mixed debt issue. "China's banking market has a certain growth every year. As a stable operating bank, keeping pace with market development and maintaining proper market share is not only responsible for shareholders, but also the need for banks to maintain adequate liquidity and safe operation. "Renewed debt under the weight of capital is helpless." The deep development and Ping An bank merger case is still awaiting the official approval of the regulatory authorities, and faced with stricter capital regulation requirements, the deep development of capital adequacy ratio has become a "public secret" in the market. As early as the people's Livelihood Bank directional issuance scheme announced, many brokerage researchers said that deep development is likely to be the next announced refinancing plans of listed banks.　　Guangdong Securities and banking analyst Mu Hua said that, as early as the 2010-year period, the deep development of the capital adequacy ratio is lower than the regulatory red Line and was named by the regulator, then the board of Directors issued 8 billion yuan mixed capital debt resolution, and has successfully issued a mixed debt of 1.5 billion yuan. Nevertheless, the capital adequacy ratio of deep development was only 10.07% at the end of September 2010, and the core capital adequacy ratio was only 7%, both below the industry average.　　According to deep development insiders, the capital adequacy rate at the end of 2010, even if maintained at 10.09%, to this year's quarterly and semi-annual reports will fall to 9.97% and 9.85% respectively, will fall below the regulatory layer of 10.5% regulatory red line. At the end of June 2010, the deep development and insurance giant Ping An group announced a major asset restructuring, and then September announced a deep development and ping An bank merger as the main purpose of the reorganization plan. According to the plan, the deep development will be 17.75 yuan/　　The price of the unit to ping an group of targeted additional 1.638 billion shares, Ping An group will be held by the Ping ' an Bank of all shares and 2.69 billion yuan in cash subscription, the exchange involved in assets of up to 29 billion yuan; At the same time, according to the regulatory requirements of the announcement in 1 years, ping An bank and deep development will complete the merger. "The source of the deep development of capital is ping an group, and once the merger is approved, the core capital of the deep development will soar by 29 billion yuan, leaving the capital regulatory chain completely off." "Mu Hua said,"On the one hand, the merger case is still proceeding, on the other hand the deep development of the capital has been unsustainable, and then the issuance of debt should be forced. "The Chairman of the board made a petition. Although deep development financing demand is urgent, according to the relevant regulations of the SFC, listed companies can not publicly refinance during the reorganization of major assets; the start-up time of refinancing must be after at least one full fiscal year after the reorganization transaction has been completed. So long waiting for the deep development of nature is unbearable, but if not financing what will happen?　　A bank insider explains that if a bank's capital adequacy ratio is below the regulatory red line, the regulator will stop the bank's new business entry and approval, such as loan origination, DOT expansion, credit cards, etc. will be limited. To this end, deep development Chairman Xiaosuning recently wrote a letter to management, shouting: "If we can not timely replenishment of capital, capital adequacy ratio in 2011 fell to the regulatory requirements of the following, which further led to a large number of deposits and business losses, so that my bank faced with liquidity risk, the normal operation of our business, Market image and shareholder return will cause considerable negative impact. He also suggested that regulators should release plans to restart the capital mixed debt issue. "China's banking market has a certain growth every year. As a stable operating bank, keeping pace with market development and maintaining proper market share is not only responsible for shareholders, but also the need for banks to maintain adequate liquidity and safe operation.　　"Deep development new governor Richard Jackson also said that 2010 deep development has the better profit, may supplement some capital, separately issue the mixed debt Plan if the supervisory authority approval, may in the short term be the capital supplement, the other equity form Capital supplement must the supervisory level approval or waits until the transaction completes." "Equity financing is not allowed during the reorganization of assets, the amount of subordinated debt has been exhausted, and the issue of mixed capital debt is a more realistic way to supplement secondary capital."　　"People close to the deep development level say that if regulators approve, the issuers of mixed debt will try to avoid the interbank sector and sell the mixed debt to more non-bank investors." According to the CBRC's 2005 notice on the issue of supplementary capital issue of the commercial banks issued mixed capital bonds, the mixed capital debt period is more than 15 years, and the date of issue will not be redeemed for 10 years.