China's largest EV battery manufacturer, Contemporary Amperex Technology (CATL), made its debut on the Shenzhen Stock Exchange on Monday (11 June) following an initial public offering of 10% of its shares.
The share price surged 44% on the first day of trade from an initial offering price of CNY25.14 (US$3.9), the maximum rate of growth for a newly-listed stock on its first day of trade
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The company raised CNY5.46bn (US$853m) from the sale of 217m shares which will help fund development of next generation battery technologies as well as new production capacity.
CATL's domestic market is poised for explosive growth after the Chinese government set minimum sales targets for new-energy vehicles. A new 24 gigawatt-hour factory is being planned in its home city of Ningde in Fujian province.
Demand for hybrid vehicles is also growing strongly around the world, which has prompted CATL to explore opportunities to set up an EV battery plant in Europe.
CATL was established in 2001 and booked sales of EV batteries with a combined power output of 11.84gwh in 2017, up from 6.8gwh in the previous year, making it the world's largest EV battery producer, according to local reports.
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