EV maker Xpeng to list on Hong Kong Stock Exchange - Metro US

EV maker Xpeng to list on Hong Kong Stock Exchange

Auto Shanghai show in Shanghai

(Reuters) -Chinese electric-vehicle maker Xpeng Inc said on Thursday it was looking to list its common shares on the Hong Kong Stock Exchange as part of a global offering to raise as much as $2 billion.

After the proposed listing, Xpeng’s Class A ordinary shares in Hong Kong will be convertible with its American depositary shares (ADS) that are currently listed on the New York Stock Exchange.

The Hong Kong float of 4.25 million shares, to be priced at not more than HK$180 apiece, forms a part of the company’s global offering of 85 million shares, Xpeng said.

The offering includes 95% for institutional investors and 5% for Hong Kong retail investors. Shares of New York listed Xpeng, which has a market capitalisation of $33 billion, fell 2% on Thursday.

Led by Chief Executive Officer He Xiaopeng, Xpeng is developing smart-car technologies, such as autonomous driving functions, with an in-house team of engineers.

It sells mainly in China, the world’s biggest car market, where it competes with Tesla Inc and Nio Inc.

Investors in the global offering will not be able to take delivery of ADSs listed on the NYSE, the company said.

Xpeng will be listed on the Hong Kong Stock Exchange under the stock code “9868”.

J.P. Morgan Securities and Merrill Lynch are the joint sponsors of the listing.

(Reporting by Sohini Podder in Bengaluru and Yilei Sun in Beijing; Editing by Bernard Orr, Devika Syamnath and Emelia Sithole-Matarise)

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