China’s CATL set to price shares at HK$263 each: Reuters

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China’s CATL set to price shares at HK$263 each: Reuters

A CATL logo is displayed on a smartphone screen with a Hong Kong Stock Exchange (HKEX) logo in the background on May 7, 2025 in Chongqing, China.

Li Hongbo | Visual China Group | Getty Images

******** battery maker CATL is set to price its shares at HK$263 ($33.70) each and increase the size of the company’s Hong Kong listing, according to two sources with direct knowledge of the matter, raising about $4.6 billion.

It would be the largest listing globally in 2025, according to LSEG data.

Prospective investors have been told orders for CATL stock made below HK$263 per share risk missing out on allocations, the sources added.

A so-called offer size adjustment option to increase the number of shares on ***** by 17.7 million is set be exercised, the sources said.

Adding that stock will take the value of CATL’s listing to about HK$35.66 billion ($4.57 billion).

The sources could not be named discussing confidential information.

CATL did not immediately respond to a request for comment from Reuters.

The HK$263 price is about a 6% discount to CATL’s Shenzhen-stock’s closing price of 258.77 yuan (HK$279.99) on Tuesday. The stock was trading up about 1% on Wednesday, compared to China’s CSI 300 which was up about 1.5%.

Hong Kong shares of a company typically trade at a discount compared with its mainland stocks. Investors are usually offered stock at a cheaper price in offshore listings as an incentive to buy into the share offering.

More than 20 cornerstone investors subscribed for about $2.6 billion worth of CATL shares in the listing, the filings showed.

CATL’s books were multiple times oversubscribed with strong demand from sovereign wealth and global long-only investors since its launch on Monday, according to a book message sent to investors on Tuesday and reviewed by Reuters

The company said about 90% of the proceeds raised, about HK$27.6 billion, would be spent on the construction of its planned Hungary factory, part of its plan to make batteries in Europe for automakers such as BMW, Stellantis and Volkswagen.

The first phase of the factory, in which it is investing 2.7 billion euros ($3.03 billion), is due to start producing batteries this year. It aims to begin construction on the second phase later this year.

CATL shares are due to start trading on the Hong Kong Stock Exchange on May 20, according to its filings.

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