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OCBC to raise $3.37b in rights issue to boost capital

Published on Aug 18, 2014 9:39 AM
 
A woman uses an Oversea-Chinese Banking Corp (OCBC) automated teller machine in Singapore's financial district on Aug 5, 2014. Oversea-Chinese Banking Corp, Singapore's second-biggest lender, said it plans to raise $3.37 billion in a rights issue to strengthen its capital after the recent acquisition of Hong Kong's Wing Hang Bank. -- PHOTO: REUTERS

SINGAPORE (Reuters) - Oversea-Chinese Banking Corp, Singapore's second-biggest lender, said it plans to raise $3.37 billion in a rights issue to strengthen its capital after the recent acquisition of Hong Kong's Wing Hang Bank.

The bank will sell 440 million shares at $7.65 a share, a 25 per cent discount to its last share price of $10.20 on Friday, it said in a statement.

OCBC took over Wing Hang Bank in a $6.2 billion deal last month a deal intended to give the Singapore lender a much sought-after gateway to the Greater China region..

Bank of America Merrill Lynch and JPMorgan are handling the deal.

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