The biggest task in the next 12 months would be to let the investors have more understanding of the value of investing in Industrial and Commercial Bank of China, because we prepare to get listed in the next 12 months on an appropriate occasion and become a public company.", said Yang Kaisheng, newly-appointed ICBC president, at a press conference held by ICBC.

ICBC Shareholding Company Limited was officially launched on October 28. As China's largest commercial bank on assets-scale ICBC's successful conversion signifies not only ICBC's joint stock reform entering a new stage, but also a major achievement in the reform of state-owned commercial banks.

ICBC Shareholding has a registered capital of 248 billion yuan. With the approval of the State Council, Central Huijin Investment and the Ministry of Finance, controlling 50 percent of its shares respectively, will exercise their rights and responsibilities as investors according to the law and regulations. After introducing strategic investors the capital of ICBC would reach $36 billion, and the shares of Huijin and Finance Ministry, the two state-owned shareholders, would be reduced from 50 percent to 42 percent. Once ICBC is listed its equity would be further diversified.

Three independent Board members of ICBC are Antony Leung, former Finance Secretary of the Hong Kong Special Administrative Region, John Thornton, former president of Goldman Sachs and Qian Yingyi, economics professor at US University of California, Berkeley. They are experts in their own areas and will be of great help to the corporate governance of ICBC. "Apart from the three independent directors there is a possibility that the number of independent directors would grow.", said Pan Gongsheng, secretary of ICBC Board of Directors, to International Finance News.

Jiang Jianqing was appointed as chairman of the Board and ICBC Party secretary, Yang Kaisheng as president, vice chairman of the Board, deputy ICBC Party secretary and Wang Weiqiang as Council chairman, deputy ICBC Party secretary.

It was also learned that ICBC currently has 360,000 employees and it has no plan of large-scale staff reduction. "ICBC will continue to introduce necessary talents according to needs while pay more attention to training of existing personnel. Regarding management of salary and compensation the goal of next step is to establish and perfect an incentive mechanism and determine the income of employees and senior management according to performance.", said Yang Kaisheng.

It was learned that the three overseas strategic investors Goldman Sachs, German Allianz AG and American Express Corporation are expected to officially buy into 10 percent stake of ICBC with about $3.6 billion after the joint-stock company was set up. Goldman Sachs would invest over $2 billion while Allianz AG and American Express $1 billion or so and $200 to $300 million respectively. According to the sizes of the investments Goldman Sachs would take about 7 percent of ICBC's shares.

"Among foreign shareholders Goldman Sachs, although has a large share, is specialized in investment banking, not in banking business. ICBC is still in need of a large strategic investor specialized in banking business, which can provide professional training and advisory for ICBC.", said Lydia Lin, rating analyst with Fitch Ratings (Beijing) Limited.

By People's Daily Online