Chinese Tesla competitor Xpeng upsizes IPO, will now raise $1.5 billion amid strong demand

The Chinese automaker Xpeng aims to raise $1.5 billion in an initial public offering on the New York Stock Exchange, the company said on Thursday…

The electric-car manufacturer said it would sell 99.7 million American depositary shares at an offering price of $15 each. The level is higher than its previous range of $11 to $13 per share because of strong demand for the offering. Each American depositary share is worth two shares of Xpeng’s common stock.

The deal’s underwriters — Credit SuisseJPMorgan, and Bank of America — will hold a 30-day option to buy an additional 15 million shares, Xpeng said. The automaker will trade under the ticker XPEV. Xpeng’s shares are expected to begin trading on Thursday, and the offering is set to close on Monday.

Xpeng’s IPO marks the latest Chinese Tesla rival to raise capital in the US. Nio made its market debut in September 2018 at a lower-than-expected offering price but has more than doubled as investors bet heavily on the electric-vehicle revolution. Li Auto followed with an IPO on July 30 that raised $1.1 billion.

The latest Chinese-automaker IPO follows the opening of Tesla’s factory in Shanghai. The facility aims to boost the company’s presence in the country and cater to its growing interest in electric vehicles. Tesla began delivering Model 3 sedans in China in December and…

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