Hong Kong-listed Evergrande Auto (HKG: 0708) has proposed to issue shares on the Science and Technology Innovation Board of the Shanghai Stock Exchange, also known as the Star Market, according to a filing on Friday. The company did not mention the purpose for the secondary listing, or disclose any other information.
Earlier this week, the EV maker disclosed that it would sell HKD 4 billion (USD 516 million) shares to investors including Tencent, Sequoia Capital, Jack Ma-backed YF Capital, and Didi Chuxing. Evergrande Auto is controlled by Chinese real estate developer China Evergrande Group, a latecomer in the EV sector with a vision to become the world’s biggest electric vehicle maker in three to five years.
To realize this dream, the company has to compete in a crowded market, with players including Tesla (NASDAQ: TSLA), Nio (NYSE: NIO), XPeng (NYSE:XPEV), and Li Auto (NASDAQ: LI). Evergrande Auto in August unveiled its first ever six new energy vehicle models under the Hengchi brand, including sedans, SUVs, multi-purpose vehicles, and crossovers, but hasn’t yet started to produce them at scale.
In the 2019 annual report, the company pledged to start mass production in 2021, adding that it has 15 models in the pipeline.