Sinopec unit sells CATL shares for US$770 million amid EV battery stock surge
The 8.5 million shares sold represent about 5.5% of EV battery makers’ Hong Kong shares in issue
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[SINGAPORE] A unit of Sinopec sold 8.5 million Hong Kong-listed shares of CATL for about US$770 million, a term sheet showed on Wednesday (Apr 22), cashing in on the Chinese electric-vehicle battery maker’s sizzling stock market performance.
Sinopec (Hong Kong) sold the shares in an accelerated bookbuild at HK$708 apiece, a discount of about 3.8 per cent to Contemporary Amperex Technology Co Ltd’s (CATL) Tuesday closing price, the term sheet reviewed by Reuters showed.
The Sinopec unit also agreed to a 90-day lock-up on its remaining stake in CATL, the term sheet showed. Goldman Sachs was the sole placing agent, according to the term sheet.
Sinopec and CATL did not immediately respond to requests for comment.
The 8.5 million shares sold represent about 5.5 per cent of CATL’s Hong Kong shares in issue. Sinopec (Hong Kong) held about a 9.45 per cent stake in CATL’s Hong Kong share capital, LSEG data showed.
The sell-off came after CATL’s Hong Kong-listed shares had surged 166 per cent to HK$699 on Tuesday, despite falling 5 per cent on the day, from their May 2025 listing price of HK$263.
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Its shares have jumped 39.5 per cent year-to-date, giving the company a market capitalisation of US$295.9 billion, LSEG data showed.
CATL is one of the world’s largest electric-vehicle battery makers and supplies automakers including Tesla, BMW, Volkswagen, Xiaomi and Nio.
The company raised about US$4.6 billion in its Hong Kong listing, the world’s largest listing that year, and said most of the proceeds would be used to fund a battery plant in Hungary as part of its overseas expansion.
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In March, CATL reported fourth-quarter and full-year 2025 net profit that beat market estimates.
Earlier this month, Reuters reported that CATL was exploring a Hong Kong equity fundraising that could raise about US$5 billion, citing sources, with the timing, size and structure of any deal still under review. REUTERS
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