CICC Facilitates Successful PICC IPO on A-share Main Board

The People’s Insurance Company (Group) of China Limited (“PICC” or the “Company”, 601319.SH) was listed on Shanghai Stock Exchange on November 16, 2018. Around 1.8 billion new shares were issued, which accounted for ~4.07% of enlarged share capital, and RMB6.012 billion was raised at an issue price of RMB3.34/share in the method of “strategic allocation + offline offering + online offering”. CICC acted as Sponsor and Joint Lead Underwriter in the transaction.

The deal has set a number of records: the 1st A-share IPO of an insurance group since 2012; the 1st A-share IPO of a property & casualty-focused insurance group; the 1st A-share IPO of a financial issuer adopting the strategic allocation method in the last 8 years; first financial enterprise going public via the structure of “ Group A-share + Subsidiary H-share Listing”; the largest issuer that returned from H-share to A-share market and achieved A+H listing; and the largest A-share IPO of a financial issuer in 2018 to date.

Founded as the PRC’s 1st national insurance company in October 1949, PICC has participated in and experienced almost all the major reforms and innovations in China’s insurance industry to date. Currently, the Company has grown into an integrated insurance financial group with leading principal business and strong industry position. PICC ranks No.117 in Fortune Global 500 List 2018. By premium income, its subsidiary PICC P&C is a world-leading and Asia’s top property and casualty insurance company.

PICC provides insurance services mainly via PICC P&C, PICC Life, PICC Health, PICC Reinsurance, PICC Hong Kong and PICC Pension, and asset management services via PICC Asset Management, PICC Investment Holding and PICC Capital. The Company also participates in fintech business via PICC Financial Services and insurance brokerage via Zhongsheng International, and has its strategic footprint in non-insurance financial sector, including banking and trust. With excellent market reputation built over nearly seven decades and deeply-penetrated brand awareness, PICC has maintained market leadership and developed a strong competitive edge.

As of September 30, 2018, PICC registered total assets of RMB10, 400.58 billion. Throughout 2017, the Company generated RMB476.444 billion worth of revenue from insurance business and RMB16.646 billion worth of net profit attributable to shareholders of parent company.

In the past more than 10 years, CICC has been deeply involved in all key events of the client with high-quality, full-spectrum domestic and overseas investment banking services. The deal marks CICC’s another milestone financing service for the Company following the shareholding reforms and H-share IPOs of both PICC P&C and PICC.

CICC controlled the execution progress and maintained close synergy with the Company and other subsidiaries, ensuring each step meeting the timeline. The 1st filing was completed 5 months after the kick-off, and the acceptance letter was received on the same day; and the listing application passed the review of CSRC Public Offering Review Committee less than 8 months later. Finally, CICC secured a valuable issuance window despite complicated conditions in domestic and overseas capital markets, meeting the Company’s expectations and requirements on the listing timetable.

CICC is a people-oriented investment bank which has Chinese roots and international reach, and serves its country with integrity. As a top-class investment bank in the world, CICC is committed to providing high-quality value-added financial services for clients. Backed by extensive capital market experience and seamless service capabilities across domestic and overseas markets, CICC will continue to provide its clients with first-class financial services and assist them to fulfill their strategic goals.