Chery Automobile, China’s second-largest carmaker by volume, aims to raise as much as HK$9.14 billion (US$1.2 billion) through a Hong Kong stock offering, joining a wave of mainland companies tapping into strong investor sentiment in the electric vehicle (EV) sector.
China’s second-biggest carmaker said it would offer 297.4 million shares priced between HK$27.75 and HK$30.75, with the final offer price to be determined on September 23, according to a filing with the Hong Kong stock exchange on Wednesday. The company could issue an additional 44.61 million shares if an overallotment option were fully exercised.
About 10 per cent of the H-share offering would be allocated to the public, with the remainder reserved for the institutional cohort, Chery said. Retail investors can begin subscribing to shares on Wednesday, with the offer closing on Monday. Trading is expected to commence on September 25.
Chery said that US-China trade tensions and high competition in both domestic and overseas markets could weigh on its financial performance and business expansion. The company ranked second in sales among Chinese domestic car companies in 2023 and 2024.
Sales in emerging markets, including South America, the Middle East, North Africa and Asia excluding China, would experience strong annual growth between 2025 and 2030, Chery said.
