- The placement is Hong Kong's largest share offering this year, with funds to be used for global capacity expansion and zero-carbon business development.
- The newly issued shares represent about 28.58% of the company's total issued H shares as enlarged by the allotment.
CATL has completed its H-share placement in Hong Kong, raising about HK$39.2 billion ($5 billion) to support the further expansion of its global capacity.
The world's largest EV battery maker completed the offering at HK$628.20 per share, according to a filing to the Hong Kong stock exchange on Thursday.
The company issued 62.39 million new H shares to no less than six independent investors, with all precedent conditions met.
The newly issued shares represent about 28.58% of the company's total issued H shares as enlarged by the allotment.
The transaction marks the largest stock offering witnessed in the Hong Kong financial market so far this year.
The placement was warmly received by investors in the market, attracting extremely strong subscription demand.
Investors submitted orders covering the entire offering size within about an hour after the placement was launched, Bloomberg reported on Tuesday, citing people familiar with the matter.
More than 150 institutions participated in the placement, including hedge funds, sovereign wealth funds, and existing shareholders.
CATL plans to use the net proceeds for global capacity expansion, zero-carbon business development, and the research and development of cutting-edge technologies.
The share offering comes after the company reported strong quarterly financial results earlier this month.
CATL achieved a net profit of 20.74 billion yuan ($3.04 billion) in the first quarter, representing a robust year-on-year growth of 48.52% and demonstrating the profitability of its core business.
In addition, the company's board recently approved the establishment of a new subsidiary with a registered capital of 30 billion yuan. The entity will serve as a management and operation platform in the new energy mining sector to further consolidate the company's supply chain security.
Immediately following the completion of the latest placement, none of the investors has become a substantial shareholder of CATL, today's filing showed.
($1 = 6.8292 yuan, $1 = HKD 7.8328)
