Shares of CATL debut in Hong Kong on Could 20, 2025.
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Shares of the world’s largest battery producer Up to date Amperex Expertise rose over 17% of their Hong Kong buying and selling debut on Tuesday.
Shares had been trading at 309 Hong Kong dollars apiece on the Hong Kong inventory change, in contrast with the preliminary public providing price of HK$263 dollars per share.
The IPO raised HK$35.7 billion ($4.6 billion) in accordance with a company filing, reportedly making it the largest global listing in 2025. CATL is already listed on on the Shenzhen Inventory Alternate, the place the shares are down 2.26% thus far this yr, information from LSEG confirmed.
CATL stated in its Hong Kong submitting that 90% of the funds raised will go towards constructing its upcoming manufacturing unit in Hungary, aimed toward supplying batteries to European automotive shoppers together with Stellantis, BMW and Volkswagen.
The corporate’s international push has coincided with expansions from main Chinese language EV makers akin to BYD. Nevertheless, these efforts hit a pace bump final yr when the U.S. and EU positioned punitive tariffs on EVs made in China, citing unfair commerce practices.
CATL additionally discovered itself within the crosshairs of U.S.-China commerce tensions earlier this yr, with the Pentagon putting it on a watchlist in January over suspected hyperlinks to China’s army — allegations the corporate has rejected.
In March, CATL posted a 9.7% drop in its 2024 annual revenue, hit by intense competitors in China’s electric-vehicle market that pressured the world’s high battery producer. Nonetheless, the corporate’s web revenue went up by 15% yr over yr.
Demand for electrical automobiles in China, a important marketplace for CATL, gained momentum final yr on the again of a mixture of subsidies and shopper buy incentives. EV gross sales in China surged to 11 million in 2024 — a 40% enhance in comparison with the earlier yr, information from U.Okay. analysis agency Rho Motion confirmed.
“We’re an enormous believer and investor in CATL in our international EV technique. It is simply phenomenal, it is a ‘should personal firm,’ for my part, together with BYD for buyers within the area,” stated Brendan Ahern, chief funding officer at KraneShares.
Bank of America, China Worldwide Capital Company, Goldman Sachs, Morgan Stanely, JPMorgan Chase had been the joint lead mangers for the Hong Kong offering.