A view of CATL headquarters in Ningde, East China's Fujian Province Photo: VCG

Shares of Chinese mainland leading battery manufacturer Contemporary Amperex Technology Co (CATL) closed more than 16 percent higher in their Hong Kong trading debut on Tuesday, marking a strong start amid a growing trend of mainland enterprises pursuing dual listings on both the mainland and Hong Kong markets to expand into overseas markets, a Chinese expert said.

The Hong Kong listing process was completed in just 128 days, CATL said in a press release sent to the Global Times on Tuesday. The offering attracted investment from sovereign wealth funds, industrial capital, long-term institutional investors, insurance funds and multi-strategy funds from 15 countries and regions.

The company emphasized that its successful debut on the Hong Kong Stock Exchange marks a deeper integration into the global capital market, further strengthening its international footprint.

The IPO raised HK$35.7 billion, according to a company filing. CATL's Hong Kong filing also revealed that approximately 90 percent of the proceeds will go to fund the first and second phases of its Hungary battery plant. With rising demand for clean power and energy storage batteries in Europe, localized production is crucial for strengthening client partnerships and advancing its international strategy, the company noted.

CATL's listing on the Hong Kong market coincides with the trend of Chinese companies - ranging from consumer brands to technology firms - seeking dual listings on the A-share and Hong Kong exchanges to advance their globalization strategies, analysts said.

For these firms, a Hong Kong listing aligns with their globalization efforts. As a global financial hub, Hong Kong attracts worldwide investors. The dual-listing model not only diversifies their funding sources but also boosts brand visibility, fostering international influence, Xi Junyang, a professor at the Shanghai University of Finance and Economics, told the Global Times on Tuesday.

Hong Kong Financial Secretary Paul Chan Mo-po highlighted the significance of CATL's listing. As the world's largest IPO to date this year, the battery giant has drawn global attention, reinforcing confidence in Hong Kong's stock market, according to a newsletter on the website of the Hong Kong Special Administrative Region government.

Despite geopolitical complexities and the global capital diversification trend, Hong Kong remains an ideal fundraising site for both Chinese mainland and international companies, Chan said.

The Hong Kong Securities and Futures Commission (SFC) and Hong Kong Exchanges and Clearing Ltd (HKEX) have further fueled this IPO momentum with policy incentives. In May, the exchange launched a dedicated technology enterprises channel to facilitate new listing applications from technology companies.

Bonnie Chan, chief executive officer of HKEX, stated in an interview with National Business Daily that since the launch of the technology enterprises channel, the market response has been extremely positive, and the exchange has received numerous inquiries. 

Judging from the listing of CATL on the H-share market, the upsurge in tech company listings will continue, Chan said.

In April 2024, the Chinese mainland securities regulator rolled out five measures to bolster capital market ties with Hong Kong, including encouraging leading mainland firms to list in Hong Kong. In October 2024, the SFC and HKEX announced fast-track approvals for eligible A-share applicants, the Securities Times reported.

A report by CITIC Securities said that since the fourth quarter of 2024, an increasing number of A-share companies have pursued dual listings, with April 2025 alone seeing more disclosures. The brokerage predicts the peak of A-share firms' Hong Kong listings will arrive in late 2025.