BYD, China’s largest EV manufacturer, has announced plans to raise up to US$5.05 billion through a primary share placement. The funds will support the company’s expansion, research and development, and general operations.

The company intends to issue 118 million shares priced between US$42.82 and US$44.37 each.

This offer price represents a discount of 5.1% to 8.4% compared to the closing share price of US$46.76 on Mar. 3, 2025.

CLSA, Goldman Sachs, and UBS are serving as the joint placing agents for the sale.

This initiative represents BYD’s largest post-IPO fundraising since its 2002 listing in Hong Kong. Previously, the company raised US$3.84 billion in 2021 through a similar share placement.

The additional funds are seen as necessary due to increasing competition in China’s EV sector.

Companies are engaging in price wars that affect profitability. In Dec. 2024, BYD reduced the price of its Sealion 05 hybrid SUV by 11.5% to boost sales.

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