China’s battery leader Catl increases to debut after the largest listing from 2025

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The shares of the leading Chinese battery manufacturer Catl rose by more than 16 percent this year on the first trading day in Hong Kong after the world’s largest list.

The Secondary offer Increase at least USD 4.6 billion, whereby the amount should increase to $ 5.3 billion if an option enables the underwriters to sell more shares than is planned.

It is one of the largest offers in Hong Kong by Chinese companies that have been listed on the mainland in recent years. Catl also quotes in Shenzhen.

Founder Robin Zeng hit a gong to celebrate the beginning of trade at the Hong Kong Stock Exchange. The financial secretary of Hong Kong Paul Chan and the deputy mayor of the coastal city of Ningde in southeastern China, where the company has its headquarters, joined him.

Catl was not satisfied with being “just a manufacturer of battery components” and was ready to be the “pioneer” of the zero carbon economy, Zeng said on Tuesday.

CATL accounts for around 37 percent of the EV and Energy Storage battery markets worldwide. As a supplier of Tesla, BMW and Volkswagen, the bar-rich company had applied for an offshore list to increase the not Renmanic financing for its expansion in overseas, in particular a factory of $ 7.3 billion in Hungary.

The list supported American banks, while a US asset management company was an important investor despite the geopolitical tensions.

In January, the battery manufacturer was added to a black Pentagon company company, which was assumed that they had connections to the Chinese military, even though he has contested such connections.

A Republican legislator in April asked JPmorgan Chase and the Bank of America Stop work On the list in a warning sign for the politicization of such capital markets. Together with state-supported China International Capital Corporation and China Securities, the US lovers as the leading banker remained in the transaction.

According to the analysts, demand was reinforced by the growing shift of global investors from American assets, including the US dollar.

The market participants suggested that the list played a role in the increase in the Hong Kong dollar exchange rate at the beginning of May, since investors bought the Hong Kong dollar offer and climb speculators to force the Monetary authority in Hong Kong and buy almost 17 billion dollar to hold back the exchange rate.

“We are in this type of unique scenario in which you have a well-known company that issues new shares, also at a time when you have a macro factor in which investors want to distract from the US dollar assets,” said Jason Lui, head of the Asian-Pacific region and the derivative strategy at BNP Paribas.

Analysts and deal participants stated that increased demand made possible for the price at the top Of 263 HK $ per share – just a discount of around 7 percent on the price at the end of Monday in Shenzhen, where their shares act almost 18 times against the forward gains.

Chinese “A-Shares” on the exchanges on the mainland usually act with a double-digit percentage premium for their “H-shape” amequivals in Hong Kong, and the first public offers will usually attract a discount for buyers.

Wang Shuguang, a member of the Management Committee at Chinese Brokerage Cicc, said that the successful Chinese company’s successful debut would encourage Hong Kong to encourage it in various sectors.

“The A-Share market offers robust liquidity and higher reviews.
While the Hong Kong market enables flexible financing, “said Wang.

The Chinese oil company Sinopec, the Kuwait Investment Authority Soverägn Wealth Fund and Asian Fund Hillhouse Investment, before the shares went to the stock exchange as so -called cornerstones. Oaktree Capital Management and Lingotto in the United States, an investment vehicle supported by the Italian Agnelli family, as well as units of two Chinese state groups, the post -savings park from China and the insurer Taikang Life joined them.

The Financial Times announced that other US investors wanted to wait for investments until after the list to reduce the examination by Washington.

In the meantime, many American onshore investors will not have access to the shares, since the list was submitted according to a “regs” set according to the US Securities Act. This frees Catl from some disclosure obligations and means that US investors are excluded from investments without offshore accounts.