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    CATL Shares Surge 16% on Hong Kong Debut After $4.6 Billion Listing

    techgeekwireBy No Comments2 Mins Read
    Robin Zeng, founder and chairman of CATL, attends the company's listing ceremony at the Hong Kong Stock Exchange
    CATL’s shares closed 16% higher on their Hong Kong debut after the Chinese electric vehicle battery giant raised $4.6 billion in the world’s largest listing this year. The strong debut came despite market uncertainty and the company being placed on a U.S. Department of Defense list in January. Global investors, including from the United States, showed strong demand for CATL shares, bidding for multiple times the number of shares on offer. This positive response bodes well for other Chinese companies looking to raise funds in Hong Kong. CATL’s listing could help bolster Hong Kong’s capital markets, with the deal raising $7.73 billion in Hong Kong through initial public offerings and second listings so far in 2025. The company’s founder and Chairman, Robin Zeng, stated that the listing marked a new starting point for promoting the global zero-carbon economy.

    Key Highlights of CATL’s Listing

    • Raised $4.6 billion, potentially increasing to $5.3 billion with the green shoe option
    • Institutional tranche oversubscribed 15.2 times, retail portion 151 times oversubscribed
    • Shares traded as high as HK$311.40 and closed at HK$306.20, up 16.4% from the offer price
    • Listing seen as positive for Hong Kong’s capital markets, with $7.73 billion raised through IPOs and second listings in 2025 so far
    • CATL plans to use most funds to build a factory in Hungary as part of its European expansion

      Market Impact and Future Prospects

      The successful listing demonstrates growing investor confidence in Chinese companies despite ongoing trade tensions. CATL’s decision to restrict U.S. onshore investors didn’t dampen demand, with some U.S. investors using offshore accounts to participate. The company’s global market share in EV batteries reached 38% in 2024, up from 36% the previous year. With its expanded production plans in Europe, CATL is well-positioned to continue its lead in the EV battery market.

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