Global Capital Markets

BEIJING (XFN-ASIA) - Bank of Shanghai, which is 9.9 pct owned by HSBC, may launch its initial public offering in the second half of next year, the official Shanghai Securities News reported, citing an unidentified source. The source told the paper that the bank has not yet started its preparatory work for the IPO, and has not decided whether to list its shares in Hong Kong or other stock exchanges. The South China Morning Post reported last week that Shanghai Bank plans to raise 500 mln usd from a listing in Hong Kong next year. At the end of 2005, the lender had total assets of 240 bln yuan, with capital adequacy ratio of 11.11 pct and nonperforming loan ratio of 3.92 pct, according to the report.