Industrial and Commercial Bank of China (ICBC), the mainland's largest lender, won Hong Kong exchange approval yesterday for a share sale expected to be worth up to US$21 billion in a dual Hong Kong and Shanghai listing, a source familiar with the situation said.

The dual listing, which would be the first simultaneous Hong Kong and mainland listing, is on track to surpass Japan's NTT Mobile Communications, which raised US$18.4 billion in 1998, as the largest-ever initial public offering.

ICBC, the third of China's "Big Four" State banks to go public, plans for its shares to begin trading on October 27, another source said.

Four mainland banks Bank of Communications, China Construction bank, Bank of China and China Merchants Bank have raised a combined US$25 billion in Hong Kong since June last year.

Investors are flocking to Hong Kong IPOs after a quiet summer. China Merchants Bank, which will list in Hong Kong today, attracted orders of HK$965 billion (US$123.7 billion) for its US$2.4 billion share sale.

Like Bank of China, ICBC plans to earmark an undetermined portion of its Hong Kong offering for "cornerstone" investors such as local property tycoon Lee Shau Kee.

The deal is being arranged by Credit Suisse, Deutsche Bank, Merrill Lynch, ICEA and a consortium led by China International Capital Corp that includes Morgan Stanley.

ICBC has also appointed CICC, CITIC Securities, Guotai Junan Securities and Shenyin & Wanguo Securities as underwriters for its Shanghai listing.

(HK Edition 11/21/2006 page3)