China Bohai Bank plans major asset disposal, director resigns

China Bohai Bank is proposing a substantial disposal of legally owned debt assets totaling approximately RMB49,937 million in principal, RMB10,436 million in interest, RMB9,334 million in penalties, and RMB126 million in judicial fees as of December 31, 2024. The estimated net book value of these assets is RMB48,310 million. The disposal, to be conducted via public tender on an Equity Exchange, aims to reduce capital occupancy and improve asset quality, with an Initial Minimum Consideration of no less than RMB48,883 million. The board seeks a general mandate from shareholders to complete the asset transfer in batches within a one-year Mandate Validity Period, with potential transferees including various asset management companies.

Concurrently, the bank announced the resignation of Mr. Duan Wenwu as a non-executive director due to work adjustments. Ms. Cui Hongqin is proposed as his successor, pending shareholder election and regulatory approval. The proposed disposal, if approved, is expected to yield a positive financial effect of approximately RMB573 million for the bank.