Chery Automobile Lists in Hong Kong to Boost Global Expansion

Chinese automaker Chery Automobile Co. commenced its initial public offering on the Hong Kong Stock Exchange (stock code: 9973.HK) on September 16. The offering aims to raise capital to accelerate the company's global expansion. Chery Automobile is China's leading automotive exporter, seeking to leverage its technological prowess and multi-brand strategy in international markets.

The company's IPO involves the global offering of 297.4 million H shares, with a maximum offer price of HK$30.75 per share. Chery is among the few Chinese automakers with a strong presence across internal combustion engine vehicles, hybrids, and new energy vehicles. The international bookbuilding has garnered significant attention, with the public offering portion being oversubscribed more than 27 times, demonstrating market confidence in the company's long-term growth value.

Chery's strategy is built upon a matrix of five core brands: Chery, Jetour, Exeed, iCAR, and Luxeed. These brands target distinct market segments, from mainstream consumers to luxury and new energy vehicle buyers. The Chery brand, focusing on mass-market and family vehicles, has sold over 10 million units. Jetour targets off-road and travel scenarios with rapid sales growth, while Exeed aims for the tech-luxury segment and has achieved the top export position among Chinese premium brands. The iCAR and Luxeed brands demonstrate Chery's insight into emerging markets and intelligent mobility.

The company's competitive edge stems from its technological strengths, including the Kunpeng powertrain system, Mars architecture, and Lion intelligent cockpit. These advancements facilitate efficient product development and rapid model iteration. Chery has also emphasized driver-assistance systems, with a higher adoption rate than the global average. Financially, Chery has shown robust performance, with significant year-over-year growth in revenue and net profit from 2022 to 2024. With the backing of capital markets, Chery plans to continue increasing its investment in research and development and deepen its penetration in overseas markets, particularly by capitalizing on the growing demand for new energy vehicles.