Bank of America Corp. (NYSE:BAC) said it agreed to sell about 10.4 billion common shares of China Construction Bank Corp. (CCB) through private transactions with a group of investors, in a move that will result in an after-tax gain of about $1.8 billion.

Our decision to sell the bulk of our remaining shares in China Construction Bank is consistent with our stated objective of continuing to build a strong balance sheet, said Chief Financial Officer Bruce Thompson.

The company expects this action to generate about $2.9 billion in additional Tier 1 common capital and boost its Tier 1 common capital ratio by approximately 24 basis points under Basel I. The transactions are expected to close in November and be subject to customary closing conditions.

In late August, Bank of America said it agreed to sell approximately 13.1 billion common shares of CCB as part of its move to strengthen its Tier 1 Capital ratio and reduce risk-weighted assets by about $16.1 billion under Basel I. Last month, it reported a $3.6 billion third-quarter gain by selling shares of CCB.