Contemporary Amperex Technology Co. Ltd. (CATL), the world’s leading electric vehicle (EV) battery manufacturer, has filed for a secondary listing on the Hong Kong Stock Exchange. The Shenzhen-listed giant, which supplies EV batteries to automakers including Tesla (TSLA) and Volkswagen (VWAGY), aims to raise at least $5 billion to expand its global footprint.
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CATL has selected JPMorgan (JPM), Bank of America (BAC), China’s CICC, and China Securities International as lead banks, while Goldman Sachs (GS), Morgan Stanley (MS), and UBS (UBS) will also be involved in the deal.
Why Hong Kong and not Nasdaq?
CATL’s decision to list in Hong Kong instead of the U.S. comes amid escalating trade tensions. The Trump administration has imposed tariffs on Chinese-made EVs, batteries, and related components, making it harder for Chinese firms to access American capital markets.
Additionally, CATL was recently added to a U.S. blacklist due to allegations of links to the Chinese military. However, the company has denied any military affiliations and is reportedly considering legal action to contest the designation.
These restrictions, along with increasing U.S. tariffs, likely made a Nasdaq (NDX) listing a less viable option for the battery giant.
CATL Expands Globally Despite Regulatory Hurdles
With the new funds, CATL plans to strengthen its international operations, including battery production facilities in Hungary, Spain, and Indonesia. The move reflects a broader push by Chinese companies to secure overseas growth while reducing dependence on Western markets.
This could be Hong Kong’s biggest listing since 2021, showing renewed confidence in its capital markets despite recent downturns. As global demand for EV batteries is rising, CATL’s successful listing would strengthen Hong Kong’s role as a financial hub and help the company to manage geopolitical challenges.
Which EV Stock Has the Most Upside Potential?
For investors looking to dive into the EV sector, selecting the right stocks can be challenging. To simplify the process, we’ve compiled a list of EV stocks using the TipRanks Stocks Comparison tool. Out of the five stocks mentioned below, analysts think that NIO stock has the most room to run. In fact, NIO’s average price target of $5.31 per share implies more than 31% upside potential.
