Photographer: Qilai Shen/Bloomberg

China’s Looming $8 Billion IPO Has Risks Tied to Shadow Banking

  • Postal Bank prelisting data shows interbank investment surge
  • Investors could question lender’s reputation as safe, sleepy

Postal Savings Bank of China Co., the company preparing for an initial public offering that may raise $8 billion, has plunged into shadow-banking arrangements that could make investors question its reputation as sleepy and safe.

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