China CITIC Bank Announces Full Redemption of RMB40 Billion Undated Capital Bonds

Date: 27 April 2026

Key Highlights

• Full Redemption of Bonds: China CITIC Bank Corporation Limited (“the Bank”) has completed the full redemption of its undated capital bonds, originally issued in April 2021, with a total size of RMB40 billion.
• Regulatory Approval: The redemption was carried out with the approval of the National Financial Regulatory Administration.
• Redemption Right Exercised: The Bank exercised its conditional redemption right as stipulated in the bond prospectus, which allowed for redemption on the coupon payment date in the fifth year of the Bonds, specifically on 26 April 2026.

Details of the Bond Issue and Redemption

China CITIC Bank issued undated capital bonds amounting to RMB40 billion between 22 April 2021 and 26 April 2021. These bonds were designed to bolster the Bank’s capital structure and provide additional funding flexibility. According to the bond prospectus, the Bank retained the option to redeem all or part of the Bonds on the coupon payment date in the fifth year after issuance, subject to regulatory approval.

As of 27 April 2026, the Bank has exercised this right and redeemed the entire amount of the Bonds, following approval from the National Financial Regulatory Administration. This strategic move reflects the Bank’s robust capital position and its proactive approach to capital management.

Implications for Shareholders

• Capital Structure Impact: The full redemption of the RMB40 billion undated capital bonds will affect the Bank’s capital base. It may lead to an improvement in capital adequacy ratios, depending on how the redemption is financed and whether replacement capital instruments are issued.
• Interest Cost Savings: With the redemption of these bonds, the Bank will no longer incur the associated coupon payments, potentially resulting in interest expense savings which could positively impact net profit going forward.
• Signal of Financial Strength: The decision to redeem a large capital instrument in full, at the earliest possible optional date, may signal management’s confidence in the Bank’s liquidity and capital generation capabilities. This could be interpreted positively by investors and may influence the Bank’s share price.
• Regulatory Confidence: Regulatory approval for the redemption further underscores the Bank’s compliance with capital regulations and the stability of its financial profile.

Board of Directors

The current executive directors of China CITIC Bank are Mr. Fang Heying (Chairman) and Mr. Hu Gang. Non-executive directors include Mr. Wei Qiang, Mr. Wang Yankang, and Mr. Fu Yamin. Independent non-executive directors are Mr. Liu Tsz Bun Bennett, Mr. Zhou Bowen, Mr. Wang Huacheng, and Ms. Song Fangxiu.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or seek professional advice before making any investment decisions. The information is based on official disclosures by China CITIC Bank as of 27 April 2026. Market conditions can change and past performance is not indicative of future results.

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