Shanghai (Gasgoo)- On September 25, Chery Automobile Co., Ltd. made its trading debut on the main board of HKEX (Hong Kong Exchanges and Clearing Limited), pricing its shares at the top end of the offering range at HK$30.75 each. The listing raised HK$9.14 billion (US$1.17 billion), marking the largest automotive IPO in Hong Kong this year.

The automaker issued roughly 297 million H-shares, with 10% allocated to the Hong Kong public offering and 90% to international investors. A 15% overallotment option was also included.

Chery attracted 13 cornerstone investors for the IPO, including JSC International Investment Fund SPC, Hillhouse's HHLRA, Greenwoods Asset Management, CICC Financial Trading Limited, Horizon Robotics' Horizon Together, Martis Fund, and PSBC Wealth Management. Together they subscribed to about US$587 million (HK$4.573 billion) of shares.

Photo credit: Chery Automobile

Proceeds from the listing will be channeled into five main areas. About 35% will go toward developing new passenger vehicle models, while 25% is earmarked for next-generation technologies. Another 20% will support Chery's overseas expansion, with 10% allocated to upgrading production facilities in Wuhu, Anhui Province, and the remainder reserved for working capital and general corporate purposes.

According to its prospectus, Chery Automobile sold more than 2.295 million vehicles worldwide in 2024, up 49.4% year-on-year.

The company also highlighted rising average selling prices. Between 2022 and 2024, the figure climbed 33.5% overall, with domestic prices up 37% and overseas prices rising 19.4%. Across its two main brands, CHERY and JETOUR, average selling prices increased 30.9% and 39.5% respectively.

Chery Automobile's financials have maintained steady growth. Revenue climbed from 92.618 billion yuan in 2022 to 269.897 billion yuan in 2024, with first-quarter 2025 revenue at 68.223 billion yuan. Net profit rose from 5.806 billion yuan in 2022 to 14.334 billion yuan in 2024, reaching 4.726 billion yuan in the first quarter of this year. As of March 31, 2025, the company held 37.5 billion yuan in cash and equivalents.

Industry forecasts from Frost & Sullivan suggest global new energy vehicle penetration will nearly double, rising from 23% in 2024 to 47% by 2030. At the same time, the passenger vehicle industry is accelerating its shift toward smart technologies, with assisted driving systems expected to achieve significant adoption both in China and worldwide.

To secure its position in this evolving market, Chery has been investing heavily in new energy and intelligent vehicle technologies—two areas that require substantial funding.

Prospectus data shows that revenue from new energy vehicles (NEVs) is steadily increasing. Between 2022 and 2024, the share of revenue from traditional oi-fueled vehicles fell from 75.9% to 69.6%, while NEVs grew from 13.2% to 21.9%. In the first three months of 2025, NEVs accounted for 27.3% of total revenue, compared with 63% from fuel-powered models.

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