China Construction Bank has completed an issuance of RMB 40 billion in Additional Tier 1 Capital Bonds, strengthening its regulatory capital base. The new instruments are structured to count toward the bank's regulatory capital requirements under current rules and add to its loss-absorbing capital, which can support resilience during periods of financial stress. The issuance sits between equity and senior debt, adding loss-absorbing capacity without immediate share dilution. The bank, a HK$2.6 trillion lender in the banking sector, retains the ability to issue up to RMB 450 billion of capital instruments and RMB 250 billion of other loss-absorbing debt, a capacity that could influence funding costs and the profit available to support distributions relative to peers such as Industrial and Commercial Bank of China and Bank of China.
China Construction Bank CoCompleted RMB 40 billion Additional Tier 1 bond issuance, strengthening its regulatory capital base without immediate share dilution.
Industrial and Commercial Bank of China Ltd
Bank of China Limited