Chinese electric vehicle maker BYD has launched a sale of its Hong Kong shares to raise up to $5.2 billion via an accelerated book-building, according to a deal term sheet seen by Reuters on Monday.
The company has set a price range of HK$333–HK$345 per share for the offering, representing an up to 8.4% discount compared to the stock market’s closing price of HK$363.60 on Monday.
The offering is expected to be priced on Monday, the term sheet said.
BYD did not immediately respond to a Reuters’ request for comment.
The company plans to use the proceeds to invest in research and development, expand overseas businesses, supplement working capital, and for general purposes.
The deal adds to a sharp pickup this year in share offering momentum in Hong Kong, the preferred destination for Chinese companies looking to raise offshore capital, as investors bet on a possible recovery in China’s economic growth.
Shares of China’s largest bubble tea and drinks chain, Mixue Group, jumped more than 47% in their debut on the Hong Kong Stock Exchange on Monday, with new listings in the city recording their strongest start to a year since 2021.
The stellar start reinforces hopes for a strong year in new equity issuances by Chinese companies in Hong Kong, as Beijing steps up support for its private enterprises to revive a slowing economy amid heightened geopolitical tensions.
The fundraising comes amid a hectic pace of hiring and expanding to other markets for BYD.
BYD plans to hire 20,000 employees in Zhengzhou in the first quarter as it boosts production capacity, government-run Henan Daily reported last month.
The company also aims to complete its $1 billion plant in Indonesia at the end of 2025, the head of its local unit said in January.
BYD, which overshot its global sales target to more than four million units sold last year, opened its first EV plant in Southeast Asia in Thailand in 2024, worth $490 million and which has a production capacity of 150,000 units per year.
—Scott Murdoch, Reuters
Autentifică-te pentru a adăuga comentarii
Alte posturi din acest grup
Restaurant industry leaders are excited for
Elon Musk’s anger over the One Big Beautiful Bill Act was evident this week a
Welcome to AI Decoded, Fast Company’s weekly new
When artificial intelligence first gained traction in the early 2010s,
You wake up in the morning and, first thing, you open your weather app. You close that pesky ad that opens first and check the forecast. You like your weather app, which shows hourly weather forec
How the Boomer wealth transfer could reshape global finance.
Born too late to ride the wave of postwar prosperity, but just early enough to watch the 2008 financial crisis decimate some
