Anhui, China-based Huishang Bank Corp was seeking to raise USD1.5 billion from its planned initial public offering. The IPO size would be the biggest public listing of a banking institution on the Hong Kong bourse in three years.

According to its term sheet, Huishang was set to offer 23% of the company, or 2.5 billion shares, Shareholders of the state-owned bank could also sell its shares on behalf of the National Social Security Fund of China. Today, the Chinese bank had started gauging investor demand. Huishang would be taking orders on October 28 onwards. A final share price would be set on November 2 for Huishang's IPO.

Phillip Securities Group analyst Chen Xingyu said over the phone regarding Huishang's IPO, "Huishang is a city commercial bank facing less capital pressure because its scale is smaller than the other larger national players. This could be a selling point to investors."

Proceeds from the public listing would be used by Huishang to strengthen its core capital, according to its term sheet.