BRIEF: Chery launches blockbuster IPO likely to become this year’s largest new car listing

Car maker Chery Automobile Co. Ltd. on Wednesday launched its Hong Kong IPO, aiming to raise more than $1 billion in what’s likely to become the largest listing by a major vehicle company this year. The company aims to sell about 297 million shares for between $27.75 and HK$30.75 each, according to a Wednesday stock filing marking the IPO’s launch. A price at the top of that range would raise as much as about HK$9.14 billion ($1.18 billion).

Chery has been China’s biggest exporter among domestic brand passenger vehicle companies since 2003. The company generated revenue of 269 billion yuan ($37.8 billion) in 2024, up 65.4% from the prior year, as its net profit rose 37.2% to 14.3 billion over that period.

The growth continued this year, as revenue rose 24% to 68.2 billion yuan in the first quarter of 2025 from 54.9 billion yuan a year earlier, according to new data in an updated prospectus filed last week. Revenue from new energy vehicle (NEV) sales was a key driver of the growth, surging roughly fourfold to 18.7 billion yuan in the first quarter from 4.6 billion a year earlier, accounting for more than a quarter of the total.

The company is speeding the deployment of its smart driving system across its brands, offering various autonomous driving levels as part of its broader push into future mobility. Part of the IPO funds will be used to expand its NEV product portfolio, upgrade its new energy power systems and automotive platform architecture for NEV vehicles and for substantial R&D to enhance its core technological capabilities.

By Teri Yu

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