Chinese automaker BYD hopes to raise up to $5.2 billion by selling its shares on the Hong Kong Stock Exchange, Bloomberg reports.
The company intends to sell 118 million common shares. As part of the offer, the manufacturer has set a price range of HK$333 to HK$345 for its shares. Thus, investors will be able to buy them at a discount of up to 8.4% compared to the closing price on Friday, February 28.
The deal will be the largest share sale in Hong Kong since food delivery company Meituan raised $10 billion in 2021 through an additional share offering and convertible bond sale. In addition, it will be BYD’s largest fundraising since its listing on the Hong Kong exchange in 2002.
BYD plans to use the proceeds to ramp up production overseas, particularly in Europe, to avoid EU import duties on cars made in China.
