China Construction may raise 50b yuan through float

China State Construction Engineering Corp plans to raise as much as 50.2 billion yuan in the world's biggest initial public offering since March 2008.

China's largest housing contractor will sell as many as 12 billion shares at 3.96 yuan to 4.18 yuan each, according to a filing to the Shanghai Stock Exchange. The sale of a 40-percent stake values China Construction at as much as 125.5 billion yuan.

China Construction's IPO is almost 28 times larger than the second-biggest sale on the Chinese mainland this year, testing a rally that's pushed the benchmark Shanghai Composite 80 percent higher since Dec 31. The company, led by Chairman Sun Wenjie, plans to use proceeds to expand in residential construction, as a surge in bank lending drives a pickup in the housing market.