It is learned that the Stock Company of the Pudong Development Bank has been approved by the China Securities Regulatory Commission to issue an additional 6 billion yuan worth of new stocks.

The Stock-Issuing Review Committee of the China Securities Regulatory Commission earlier published an announcement, saying that the 6th Stock-Issuing Review Committee's 2005 Working Conference was held on April 19. The important topic for discussion at the working conference was to "deliberate the issuance of additional new stocks by the Pudong Development Bank". After the conclusion of the April 19 conference, related personages of the China Securities Regulatory Commission confirmed to the newspaper "International Finance" the news that the Pudong Development Bank has been "ratified" to issue additional new stocks.

In May last year, the shareholders meeting of the Pudong Development Bank passed the motion that the additional stocks to be issued would not exceed 0.7 billion A-shares of capital stock and the funds collected not exceed 6 billion yuan, which will all be used to supplement the company's core capital.

According to some market players, the issuance of 10 billion yuan worth of additional Bao Steel stocks has been started. Now, the issuance of a huge amount of additional stocks by the Pudong Development Bank is coming into play, both continuing to bring capacity-expanding pressure on the market.

By People's Daily Online