Chery Automobile Targets $1.2B in Hong Kong IPO

Chinese automaker Chery Automobile is set to raise up to HK$9.1 billion (US$1.2 billion) through its upcoming Hong Kong IPO, marking a significant step in its global growth strategy.

The company is offering 297.4 million shares at a price range of HK$27.75 (US$3.57) to HK$30.75 (US$3.95) per share. Trading is scheduled to begin on September 25, with no green-shoe option or additional shares planned, meaning the total size of the offering will not increase even if investor demand surges.

Proceeds from the IPO will be directed toward research and development, international expansion, and factory upgrades, aligning with Chery’s vision to strengthen its competitive edge in the global automotive market.

Key Highlights

Chery Automobile to raise up to US$1.2B through Hong Kong IPO
Funds to support R&D, global expansion, and production upgrades
IPO managed by Chinese investment banks, trading starts September 25

The listing is jointly managed by China International Capital Corp., Huatai Securities, GF Securities, and Citic Securities, notably without participation from Wall Street banks, highlighting the growing dominance of Chinese underwriters in major equity offerings.

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The move comes amid a wave of large Hong Kong IPOs by Chinese companies, underscoring Hong Kong’s continued relevance as a fundraising hub despite global market uncertainties. Chery, known for its focus on affordable vehicles and growing electric vehicle (EV) lineup, is expected to attract strong interest from both institutional and retail investors looking to tap into China’s rapidly expanding automotive sector.