Leapmotor Raises RMB3.7 Billion via Premium Domestic Share Issue to FAW Equity

Zhejiang Leapmotor Technology Co., Ltd. Class H ( (HK:9863) ) has shared an announcement.

Zhejiang Leapmotor Technology has agreed to issue 74,832,245 new domestic shares to FAW Equity at RMB50.03 per share under its existing general mandate, representing about 20.47% of its enlarged domestic share capital and 5.00% of its enlarged total share capital. The subscription is priced at a premium to recent H‑share market prices and is expected to raise gross proceeds of approximately RMB3.74 billion, which will be allocated mainly to research and development, with the remainder earmarked for working capital, general corporate purposes, and expansion of the sales and service network to bolster brand awareness. In connection with the new issuance, the company plans to amend its Articles of Association to reflect the increased share capital and updated registered capital, subject to shareholder approval and completion of the subscription, signalling a capital-raising move aimed at funding growth and reinforcing its position in China’s competitive EV industry.

The most recent analyst rating on (HK:9863) stock is a Hold with a HK$53.00 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

More about Zhejiang Leapmotor Technology Co., Ltd. Class H

Zhejiang Leapmotor Technology Co., Ltd. is a Chinese company in the new energy vehicle sector, focusing on the design, development and sale of intelligent electric vehicles. Listed in Hong Kong via Class H shares, it targets the rapidly growing domestic EV market, where access to capital for research, sales network expansion and brand-building is critical to strengthening its competitive position.

Average Trading Volume: 7,584,305

Technical Sentiment Signal: Sell

Current Market Cap: HK$71.01B

For detailed information about 9863 stock, go to TipRanks’ Stock Analysis page.