CATL launched plans to raise at least HK$31.01 billion ($3.99 billion) in a Hong Kong initial public offering, marking the largest global listing so far in 2025.
The Chinese battery maker is offering 117.9 million shares at a maximum price of HK$263 each. Pricing is expected between May 13 and May 16, with trading set to begin on May 20.
If the offer size adjustment and greenshoe options are exercised, the total deal could reach approximately $5.3 billion. Cornerstone investors, including Sinopec and the Kuwait Investment Authority, have already subscribed for $2.62 billion worth of shares.
Shares of CATL rose 3.6% in Shenzhen on Monday following the Hong Kong listing announcement, outperforming the CSI300 Index's 0.9% gain. Institutional demand has already covered the 109.1 million share allocation, according to Reuters sources.
The company plans to allocate about HK$27.6 billion ($3.55 billion) of the proceeds toward its Hungary factory, which will supply automakers such as BMW, Stellantis, and Volkswagen. The first phase, costing 2.7 billion euros ($3.03 billion), is expected to begin battery production later this year.
The listing excludes U.S. onshore investors due to CATL's designation by the U.S. Defense Department, which the company disputes. CATL said the restriction only affects business with a small number of U.S. government agencies.
The company flagged continued uncertainty surrounding trade policy. With U.S. tariffs at 145% and China's at 125%, CATL said it is monitoring developments closely.
