Stock prices for CATL skyrocket by 6% in Hong Kong, reaching a new peak level.
Chinese Battery Giant CATL Raises $280 Million in First External Financing for Skateboard Chassis Unit
CATL (HKG: 3750), a leading Chinese battery company, has announced its first external financing round for its skateboard chassis unit, Contemporary Amperex Intelligence Technology (Shanghai) Limited (CAIT-SH). The financing round aims to raise RMB 2 billion (approximately $280 million).
The pre-investment valuation of CAIT-SH is approximately RMB 9 billion. This financing round is a significant step for CAIT-SH, as it marks the first external investment in the skateboard chassis unit. The funds raised will support and accelerate CAIT-SH's ambitions in the skateboard chassis sector, providing battery-centric skateboard chassis products and technical services.
The financing round targets investors capable of investing at least RMB 100 million each, and all confirmed external investors so far are large state-owned entities. The financing round was conducted through targeted invitations rather than a fully public offering.
CATL made its debut on the Hong Kong stock market on May 20, and the news of this financing round was reported by local media outlet Yiou. The location of the financing round is not specified.
CATL has seen a significant increase in its share price since its initial public offering. Compared with its issue price of HK$263, CATL has risen 71 percent, with its current share price standing at HK$449.4 in Hong Kong trading. The company is expected to announce its interim results on July 30.
It is worth noting that the report does not mention any specific investors in this financing round, and the exchange rate used in the conversion to USD ($280 million) was not specified.
CATL's skateboard chassis business, CAIT-SH, was established in 2021 and is a wholly-owned subsidiary of CATL. The company previously introduced new investors affiliated with CATL itself in November 2023[1].
[1] Reference: Unspecified news source.
- The technology-driven EV industry is witnessing an investment wave, with Chinese battery giant CATL aiming to raise around $280 million for its skateboard chassis unit, Contemporary Amperex Intelligence Technology (Shanghai) Limited (CAIT-SH).
- The pre-investment valuation of CAIT-SH is approximately $9 billion, indicating a strong market potential in the skateboard chassis sector.
- The financing round, primarily targeting large state-owned entities capable of investing at least $100 million each, is a strategic move to accelerate the technology development and market expansion of CAIT-SH's battery-centric skateboard chassis products and technical services.
- The success of this financing round, coupled with CATL's strong performance in the finance market since its initial public offering, suggests a promising future for technology-driven initiatives within the EV industry and the broader market.
