CATL sales space is seen in the course of the twenty first Shanghai Worldwide Vehicle Business Exhibition (Auto Shanghai 2025) on the Nationwide Exhibition and Conference Heart (Shanghai) on April 26, 2025 in Shanghai, China.
Vcg | Visible China Group | Getty Photographs
Potential traders in Chinese language battery large CATL’s Hong Kong itemizing to boost about $5 billion have been informed the inventory could also be bought at a reduction of lower than 10% to the corporate’s Shenzhen-listed shares, based on three sources with direct data of the matter.
The low cost provided may very well be round mid-single digits, two of the sources added.
CATL is assembly traders forward of launching the guide constructing for the deal subsequent week that may very well be the biggest new share sale in Hong Kong for 4 years.
Traders are pushing CATL to cost the Hong Kong shares no less than a ten% low cost to the Shenzhen-traded inventory, one of many sources and a fourth individual informed Reuters.
The pricing has not been finalized, the sources stated.
CATL desires to have cornerstone and anchor traders subscribe for round half the shares to be bought within the deal, two of the sources added.
The sources couldn’t be named discussing data that has not but been made public.
CATL didn’t instantly reply to a request for remark from Reuters.
CATL shares had been buying and selling 2.33% increased on Wednesday at 237.08 yuan. Nonetheless, the inventory has fallen practically 11% this 12 months. China’s CSI300 index was up practically 0.5%.
Hong Kong shares usually commerce at a reduction in comparison with mainland shares. Traders are often provided inventory at a less expensive worth in offshore listings like this as an incentive to purchase into the share providing.
Midea Group priced its Hong Kong shares at a few 20% low cost when it raised $4 billion in an inventory in September final 12 months.
The battery large’s itemizing could be the biggest in Hong Kong since 2021, when Kuaishou Know-how raised $6.2 billion in an preliminary public providing.
CATL has beforehand stated in a regulatory submitting that a part of the funds raised will likely be used to construct a 7.3 billion-euro ($8.28 billion) battery plant in Hungary.
