On the evening of August 18, the official website of the China Securities Regulatory Commission disclosed that China Mobile Limited's prospectus said that the number of shares to be issued in RMB would not exceed 965 million, that is, no more than 4.50% of the total number of common shares issued by the company after the issuance of RMB shares (before exercising the over-allotment option). It is proposed to be listed on the Shanghai Stock Exchange, and the amount of funds to be invested in the fund-raising project is 56 billion yuan.

According to the proposed investment amount of 56 billion, which exceeds the 54.2 billion yuan just completed by China Telecom Corporation, it will be the fifth largest IPO in A-share history and the largest IPO fund-raising project after Agricultural Bank Of China listed in July 2010.

China Mobile Limited listed on Hong Kong stocks in 1997 and closed at HK $51.45 on August 18, with a total market capitalization of HK $1.0535 trillion, which is much higher than that of Telecom + Unicom combined. However, like China Telecom Corporation, China Mobile Limited currently has a price-to-book ratio of less than 1, and the A-share offering price is expected to be higher than the H-share price.

The top ten highlights of China Fund News are as follows:

1. Annual net profit exceeds 100 billion, with a growth rate of 6% in the first half of this year.

According to the prospectus, China Mobile Limited's operating income reached 736.818 billion yuan, 745.917 billion yuan and 768.07 billion yuan respectively, while the net profit of returning home reached 116.699 billion yuan, 106.325 billion yuan and 107.837 billion yuan respectively.

In the first half of 2021, China Mobile Limited achieved an operating income of 443.6 billion yuan, an increase of 13.8 percent over the same period last year. Of this total, revenue from communications services reached 393.2 billion yuan, an increase of 9.8 percent over the same period last year, a 10-year high; and net profit reached 59.118 billion yuan, an increase of 6 percent over the same period last year.

2. The total assets are 1.77 trillion yuan and the net assets are 1.14 trillion yuan.

Financial data show that as of the end of June this year, China Mobile Limited's total assets were 1.77 trillion yuan and the net assets of shareholders' equity were 1.14 trillion yuan.

3. The raised investment of 56 billion yuan will be the largest IPO since 2010.

According to the prospectus, before the over-allotment option is exercised, the number of RMB shares to be issued shall not exceed 965 million, that is, not more than 4.50% of the total number of common shares issued by the company after the RMB share issue (before the exercise of the over-allotment option).

In this fund-raising project, the amount of funds to be raised is 56 billion yuan, which will be used for 5G boutique network construction, cloud resources new infrastructure construction, gigabyte smart home construction, intelligent Taiwan construction, new generation information technology research and development and digital intelligence ecological construction projects, and the total investment amount of these projects will reach 156.9 billion yuan.

The 56 billion yuan raised by IPO will be the highest amount raised by A-share IPO since Agricultural Bank Of China IPO in July 2010, exceeding the 54.2 billion raised by China Telecom Corporation just now.

4. Personal market income accounts for 65%, but it is gradually declining.

Judging from the proportion of China Mobile Limited's main income, the proportion of personal market income is still as high as 65.99%, but it is declining year by year, from 75.78% at the end of 2018. The proportion of household market income and government-enterprise market income is increasing year by year.

5. The three major operators will gather A shares

After being forced to delist from US stocks, the three major operators will soon meet in A shares, and China Unicom will be listed in A shares early, while China Mobile Limited and China Telecom Corporation have been listed in Hong Kong stocks for many years, and now they are also listed in A shares one after another recently.

China Unicom's A shares have already been listed, while China Telecom Corporation has just completed its offering and announced on the evening of August 18 that it will be listed on the Shanghai Stock Exchange on August 20. At the same time, China Mobile Limited's A-share listing application was disclosed on the CSRC website.

China Mobile Limited is the absolute eldest brother of the Big three.

No matter in terms of market capitalization, revenue and net profit, China Mobile Limited is much higher than China Telecom Corporation and China Unicom, and higher than the latter two combined.

In terms of market capitalization, China Mobile Limited currently has a market capitalization of HK $1 trillion, while China Telecom Corporation and China Unicom have a combined market capitalization of less than HK $400 billion.

China Mobile Limited also has more revenue and net profit than both combined. China Mobile Limited's net profit in 2020 was 107.8 billion yuan, while that of China Telecom Corporation and China Unicom was 21.1 billion yuan and 12.5 billion yuan respectively, totaling more than 33 billion yuan.

7. Business covers more than 200 countries and regions around the world, serving 946 million users across the country

China Mobile Limited's business covers more than 200 countries and regions around the world, serving 946 million mobile customers, 205 million household customers and 15.53 million government and enterprise customers.

8. Before the issue, China Mobile Limited Group held 72.72% of the shares.

From the perspective of equity, before the A-share IPO issue, the controlling shareholder China Mobile Limited Group held 72.72% of the shares through China Mobile Limited BVI. After the issue (before the exercise of the over-allotment right), the proportion of shares was reduced to 69.45%; after the issue (full exercise of the over-allotment right), the proportion of shares was reduced to 68.98%.

9. The company employs 446900 people, which is much higher than that of Telecom, which is about 280000.

China Mobile Limited's personnel have been streamlined in recent years, from 459200 at the end of 2018 to 446900 at the end of June 2021. However, it is still far higher than the 280000 disclosed by China Telecom Corporation, who is about to go public.

10. The two leading securities firms, CICC and CITIC, sponsor and escort.

The giant IPO sponsor institutions (lead underwriters) are basically the top securities firms, and China Mobile Limited's A-share IPO is recommended by China International Capital Corporation and CITIC, the two giants of the investment bank.