China's CATL aims to raise $2.85 billion for EV battery projects
Reuters
Published Feb 26, 2020 10:01PM ET
China's CATL aims to raise $2.85 billion for EV battery projects
BEIJING (Reuters) - CATL (SZ:300750), China's top electric vehicle battery maker, said it aims to raise up to 20 billion yuan ($2.85 billion) in a private placement of shares to fund its battery projects and boost working capital.
The fundraising will help CATL to expand its battery-making capacity in Fujian, Jiangsu and Sichuan, as well as an energy storage research project, the company said in a filing to the Shenzhen stock exchange late Wednesday.
The company has partnerships with Tesla (O:TSLA), Volkswagen (DE:VOWG_p) and BMW (DE:BMWG).
In a separate filing on Wednesday, the battery maker said it plans to invest 10 billion yuan in a battery manufacturing base in Ningde, where it is headquartered.
China has set an ambitious plan for new energy vehicles, which include battery-only, plug-in hybrid and fuel-cell vehicles. However, their sales sank 51.6% in January, industry data showed, due to a cut in subsidies, the Lunar New Year holiday starting earlier than last year as well as the impact of the outbreak in China of a new coronavirus.
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Written By: Reuters
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