CATL considers listing on the Hong Kong stock exchange
CATL did not reveal the size or the timeline for the IPO. However, Reuters reported that it would raise at least five billion dollars, according to people familiar with the matter. According to the filing, sponsors and coordinators include Bank of America, China International Capital Corporation, China Securities International, JP Morgan, Goldman Sachs, Morgan Stanley, and UBS.
The IPO proceeds will be used to complete the first and second phases of CATL’s planned factory in Hungary. The battery maker announced in 2022 that it was planning another cell factory in Europe, specifically in Debrecen, Hungary. The plant will supply batteries to Mercedes-Benz factories in Germany and Hungary.
CATL is already listed on the Shenzhen stock exchange. A second listing in Hong Kong could attract investors who are not allowed to buy shares of mainland China-based companies, William Ma, chief investment officer and founder of GROW Investment Group, a China-based asset management company, told CNBC. “The timing is ideal as global investors are starting to find China’s markets trading at attractive valuations,” Ma said.
CATL is the world’s largest battery maker. According to its application with the Hong Kong Stock Exchange, 72 per cent of China’s high-end new energy vehicles and 80 per cent of new energy buses are powered by its batteries. Worldwide, and including PHEVs and HEVs, CATL installed batteries with a total energy content of 339.3 GWh in cars in 2024, according to SNE Research.
Also according to the filing, CATL operates 13 battery manufacturing bases worldwide. That is in addition to the above-mentioned factory in Hungary and its joint venture with Stellantis. The two confirmed that they would build an LFP battery cell plant in Spain at the end of last year.
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