Chery Auto Prices Hong Kong IPO at High End of Range Amid Strong Demand

A recent report has revealed that China's largest automotive exporter is set to price its Hong Kong initial public offering at the upper limit of its marketed range following robust investor interest.

According to a report by IFR published on September 22, 2025, citing people familiar with the matter, the pricing details have been disclosed ahead of the company's trading debut.

Chery Automobile plans to price its shares at HK30.75 each, representing the high end of a range that started as low as HK27.75 per share. The pricing strategy reflects strong institutional demand that led the automaker to halt order-taking earlier than anticipated.

The IPO is expected to raise HK9.1 billion(US$1.2 billion) for the Chinese carmaker, which is scheduled to begin trading on the Hong Kong Stock Exchange on Thursday. The offering has attracted significant backing from cornerstone investors, including Hillhouse Investment, who have committed to purchasing approximately $587 million worth of shares with a six-month lock-up period.

Chery, which operates as a contract manufacturer for luxury brands including Jaguar and Land Rover in China, has outlined plans to allocate the IPO proceeds toward research and development initiatives, international expansion efforts, and manufacturing facility upgrades. A company representative declined to provide additional comments on the pricing details.

The successful offering adds to Hong Kong's robust IPO activity in 2025, with listing proceeds reaching a four-year high. The momentum is expected to continue with Zijin Gold International Co. preparing for a $3.2 billion mining sector IPO, which would mark the largest deal of its kind globally since May.

The strong reception of Chery's IPO underscores growing investor confidence in Chinese automotive companies, particularly those with established export capabilities and partnerships with international brands.