Chery Automobile saw its shares surge 11.2% on the Hong Kong Stock Exchange on Thursday, marking a bullish start for its US$1.2 billion IPO.
The IPO was priced at HK$30.75, at the top of its range. The stock opened at HK$34.20, signaling investor appetite.
Demand was intense: institutions oversubscribed 11.6×, and retail investors applied 308×. Cornerstone commitments totaled $587 million, including from state-linked funds and private equity.
Chery plans to use proceeds to fuel R&D (35%) and next-gen vehicle development (25%). The IPO values Chery at around US$23 billion, making it a standout auto listing in Hong Kong this year.
As China’s top exporter of branded passenger vehicles, Chery is leaning into innovation, electrification, and global expansion.
Still, the road ahead includes stiff competition, regulatory headwinds, and margin pressures. But early signals suggest the market is betting on Chery’s bold move.
