On 15 May 2008, China Minsheng Banking Corp. Ltd (600016) announced that the company had commissioned Beijing Yonghe Jiacheng Auction Co. Ltd to place the 134 million non-tradeable shares of Haitong Securities Co. Ltd (600837) held by the company at auction at the China Beijing Equity Exchange on 23 May 2008.

The trading day prior to the auction announcement (14 May 2008) will be designated as the benchmark day to define the price. Upset price will be 80% of the average trading price in 30 trading days prior to the benchmark day (including 14 May 2008). Although the 134 million shares will be auctioned and transferred as a whole, they are only one part of the equity in Haitong Securities held by China Minsheng Bank. The 2007 Annual Report of Haitong Securities showed that China Minsheng Bank held 190 million of the shares of Haitong Securities at the end of 2007 accounting for 4.63% of the broker's total issued shares.


Source: China Business News

Date: 15 May 2008

CN01/JC/BT/KM