Chinese Battery Giant CATL Planning to List in Hong Kong

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Chinese battery-maker Contemporary Amperex Technology Co Ltd (CATL) said on Thursday it was planning to list in Hong Kong.

In a filing to the Shenzhen Stock Exchange, the world’s biggest battery-maker said it planned to issue offshore H-shares and apply for a listing on the main board of the Hong Kong Stock Exchange.

While CATL’s board has approved the plan, the proposal is pending approval from regulators in Beijing, including the China Securities Regulatory Commission (CSRC), the company said.

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Last year, the battery giant planned to raise $5 billion in Swiss global depository receipts (GDR), but the listing remains stalled after Chinese regulators raised concerns over the large scale of the offering.

Within weeks of reports of CATL’s Swiss listing plan, Chinese President Xi Jinping also told the battery-maker that he had mixed feelings about its status as the biggest player in the industry.

Details about CATL’s planned Hong Kong listing — including its size — remain scant. The company said details of the plan have yet to be finalised.

The move is aimed at “further promoting the company’s global strategic layout” and improving its competitiveness, it said.

CATL has a global market share of roughly 37% in electric vehicle batteries, according to battery market tracker SNE Research.

The company has been weathering the impact of an ongoing price war in China’s EV sector, but reported 26% year-on-year increase in third-quarter profit. It’s revenue, however, fell for a fourth consecutive quarter.