Gotion High-Tech approved by CSRC to issue GDRs, go public in Switzerland

Shanghai (Gasgoo)- Gotion High-Tech Co., Ltd., ("Gotion High-Tech") announced last week it had received the approval for initial public offering of Global Depositary Receipts ("GDR") and public listing on the SIX Swiss Exchange AG from the China Securities Regulatory Commission ("CSRC").

Approved by the CSRC, the total number of the company's A shares represented by the GDRs to be issued shall not exceed 249,706,175 shares. According to the conversion ratio determined by Gotion High-Tech, the number of the GDRs to be offered shall be no more than 49,941,235 shares. If the ratio is adjusted, the number of the GDRs can be changed correspondingly.

Upon completion of the aforesaid GDR issuance, Gotion High-Tech can go public on SIX Swiss Exchange AG.

Photo credit: Gotion High-Tech

Gotion High-Tech disclosed for the first time on March 16 this year that it was planning to issue GDRs overseas and be listed on SIX Swiss Exchange AG. The proceeds from the issuance would be mainly used to build a brand image with global influence and speed up the company’s global strategic business expansion, particularly to increase its overseas production capacity of battery products and raw materials through investment in fixed assets, acquisition of equity interests or other means.

Gotion High-Tech said it had already entered into strategic cooperation and struck battery supply deals with many global clients, and planned to expand its production capacity of electric vehicle batteries and supplementary components in overseas markets such as Europe, North America, and Asia.

The battery maker added this GDR issuance would help it increase its global market shares, further diversify the shareholder structure, and continue to boost sound development of the company.