CATL secures $4.6B in Hong Kong IPO

[WORLD] Chinese battery giant Contemporary Amperex Technology Co. Ltd. (CATL) has raised $4.6 billion through its Hong Kong listing, marking the world’s largest initial public offering so far in 2025.

The substantial capital raise highlights CATL’s commanding presence in the global electric vehicle (EV) battery market, where the company holds a market share exceeding 35%. Supplying major automakers such as Tesla, BMW, and NIO, CATL continues to expand amid surging global demand for EVs, particularly in key markets like China and Europe.

According to a term sheet reviewed by Reuters, final pricing was set at HK$263 per share — the top end of the marketed range — confirming details shared by multiple sources.

Analysts say the strong demand from investors signals continued optimism in the EV sector, even in the face of recent market fluctuations. “CATL’s technological edge and vertically integrated operations distinguish it from peers,” said James Li, an equity strategist based in Hong Kong. “This IPO bolsters its capacity to invest further in innovation and global expansion.”

CATL did not immediately comment on the listing.

The offering saw 125.4 million shares allocated to institutional investors, while 10.16 million shares were taken up by Hong Kong retail buyers, according to the term sheet. The retail tranche was reportedly oversubscribed, pointing to heightened local interest. Hong Kong investors have shown increasing enthusiasm for major IPOs in green energy and technology, aligning with the city’s push to become a leading center for sustainable finance.

The total deal could rise to $5.3 billion if the underwriters fully exercise a greenshoe option to sell an additional 17.7 million shares.

Should the greenshoe be activated, CATL’s listing would rank among Hong Kong’s ten largest IPOs over the past decade. It also represents a notable win for the Hong Kong Stock Exchange, which has been vying to attract more listings from fast-growing tech and green energy firms amid intensifying competition from exchanges in Shanghai and New York.

A full greenshoe exercise would see CATL surpass Midea’s $4.6 billion offering last year and become the city’s largest listing since Kuaishou Technology’s $6.2 billion IPO in 2021.

Proceeds from the IPO are expected to fund CATL’s global expansion initiatives, including new battery manufacturing plants in Europe and Southeast Asia. The company is also ramping up investment in emerging battery technologies, such as sodium-ion and solid-state batteries, to sustain its innovation lead.

CATL’s shares are scheduled to begin trading on the Hong Kong Stock Exchange on Tuesday.