Seres Group Lists in Hong Kong With $3 Billion Backing in Largest Automaker IPO of 2025
Seres Group began trading in Hong Kong today, marking the city's largest automaker initial public offering this year with an opening market capitalization exceeding HK220 billion(US$ 28 billion). The Chongqing-based electric vehicle manufacturer becomes China's first luxury new energy vehicle company to achieve dual A+H listings.
The IPO drew backing from 22 cornerstone investors, led by Chongqing Industry Investment Fund's record-breaking HK2.18 billion commitment—the largest single cornerstone investment in Hong Kong's second-half 2025 IPO market. The offering attracted more than 300 institutional investors including sovereign wealth funds and global long-only funds, while retail orders were oversubscribed by 130 times.
Cornerstone investors collectively subscribed to nearly 49% of the offering, signaling strong confidence in Seres' prospects as China's electric vehicle sector consolidates. The company, which partners with Huawei Technologies on its premium Aito brand, turned profitable in 2024 after delivering 150,000 units of its flagship M9 model.
The listing underscores how state-backed capital can reshape regional industrial ambitions, transforming a struggling traditional automaker into a competitive force in China's crowded EV market within three years.
State Fund Emerges as Strategic Kingmaker
Chongqing Industry Investment Fund, managed by Chongqing Yufu Holding Group, has been instrumental in Seres' transformation since 2021. When the automaker partnered with Huawei but lacked manufacturing capabilities for premium products, the fund invested over RMB 3.3 billion through its RMB 200 billion vehicle to build what became Seres' "super factory."
The facility was leased to Seres at favorable terms, enabling the automaker to scale production without heavy capital expenditure during critical early stages. The arrangement allowed Seres to produce the M9 SUV, which drove the company's revenue to RMB 145 billion in 2024 and its return to profitability, becoming the fourth profitable global EV maker.
In March 2025, Seres acquired full ownership of the factory for RMB 8.16 billion. Rather than exit, Chongqing Industry Investment Fund converted its stake to become a major shareholder, continuing its strategic support through the Hong Kong listing.
Industrial Ecosystem Takes Shape
The fund's investment strategy extends beyond single-company bets. As of October 2025, it has deployed approximately RMB 21.4 billion across direct investments in Seres, Avatr Technology, Qianli Zhijia, and Xinlian Microelectronics, achieving more than seven-fold leverage through co-investments.
Seres' growth has catalyzed broader supply chain development in Chongqing. More than 100 local component suppliers now serve Huawei and Seres, while battery giants CATL and EVE Energy expanded their Chongqing operations following Seres' success. The fund has also attracted strategic projects from Shanghai-based Chaoxi Semiconductor and Shengtai Optoelectronics to establish operations in the municipality.
The fund has formed partnerships with over 30 investment institutions including Hillhouse Investment, CMB International, and CICC Capital, as well as industrial partners like Changan Automobile and China Ordnance Industries Group. These subfunds have invested in 39 Chongqing-based projects since 2023, mobilizing approximately RMB 32 billion in equity capital.
Chongqing's Manufacturing Ambitions
The Seres listing represents the latest milestone in Chongqing's push to build a "33618" modern manufacturing cluster system, launched in June 2023. The initiative targets three leading sectors including intelligent connected vehicles, three high-growth sectors, six emerging industries, 18 future-oriented directions, and eight traditional industries for upgrading.
Chongqing's R&D investment now exceeds RMB 80 billion annually, ranking first among western Chinese cities in comprehensive sci-tech innovation. The municipality counts 9,123 high-tech enterprises and 75,600 technology-oriented companies, both doubling since 2020.
The industrial push has reshaped Chongqing's economic standing. In 2024, the city's GDP reached RMB 3.22 trillion, surpassing Guangzhou's RMB 3.1 trillion and disrupting China's three-decade "Beijing-Shanghai-Guangzhou-Shenzhen" top-four configuration. The municipality now hosts the world's largest electronics manufacturing cluster and ranks among China's top regions for power semiconductor production capacity.