(Bloomberg) -- Chinese electric vehicle maker Li Auto Inc. is telling prospective investors it plans to price its Hong Kong listing at HK$118 per share, setting it up to raise about $1.5 billion, according to people familiar with the matter.
The price represents a discount of about 3.2% to Li Auto’s closing price on the Nasdaq on Thursday. One of its American depositary shares is equal to two ordinary shares. The carmaker is selling 100 million shares in its Hong Kong listing. It had set a maximum price of HK$150 per share for the portion of the offering reserved for retail investors.
Pricing isn’t finalized as deliberations are still ongoing, said the people, who asked not to be identified as the discussions are private. A representative for the company didn’t immediately reply to a request for comment.
Li Auto will be the second U.S.-traded Chinese EV maker to list in Hong Kong after larger rival XPeng Inc. raised $1.8 billion in a dual primary listing in the city in June. Mainland firms listed stateside have been seeking trading footholds in Hong Kong as a way to hedge against the risk of being delisted from American exchanges as well as broadening their investor base.
Li Auto’s shares is set to start trading in Hong Kong on Aug. 12. Goldman Sachs Group Inc. and China International Capital Corp. are joint sponsors for Li Auto’s Hong Kong listing, while UBS Group AG is the financial adviser.
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