Contemporary Amperex Technology Co. Ltd. (CATL), the world’s leading electric vehicle battery manufacturer, is preparing to raise around $4 billion through its initial public offering (IPO) in Hong Kong, according to a company filing on Monday.
The company plans to issue 117.9 million shares, with a maximum price of HK$263 per share. Trading is expected to begin on May 20.
The IPO has drawn significant attention, securing $2.6 billion from over 20 cornerstone investors, including Sinopec and the Kuwait Investment Authority, as outlined in CATL’s IPO prospectus.
As one of Tesla’s key battery suppliers, CATL’s expansion is vital. The company intends to use the proceeds to fund its growth, including building a new battery plant in Hungary.
This move comes at a time of heightened trade tensions between the U.S. and China. CATL has also been added to a U.S. Department of Defense list due to alleged military links, a claim the company has strongly denied.
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