Core Viewpoint - Chery Automobile Co., Ltd. successfully completed its IPO on the Hong Kong Stock Exchange on September 25, 2023, raising HKD 9.14 billion with a share price of HKD 30.75, marking a significant milestone for the company after 21 years of attempts [1][4]. Group 1: IPO Details - Chery's IPO involved the issuance of 297,397,000 H-shares, with 29,739,700 shares available for public sale and 267,657,300 shares for international sale, subject to over-allotment options [2]. - The final offering price was set at HKD 30.75 per share, with additional fees including a 1.0% brokerage commission and various transaction fees [2]. Group 2: Historical Context - Chery has faced multiple challenges in its IPO journey, with six failed attempts since 2004 due to issues such as lack of production qualifications, financial crises, and complex shareholding structures [5][7]. - The company finally resolved its historical issues through a "shareholder sinking" strategy earlier in 2023, simplifying its shareholding structure and paving the way for the successful IPO [7]. Group 3: Financial Performance - Chery's financial performance has shown significant improvement, with adjusted net profits projected to be CNY 5.8 billion in 2022, CNY 10.444 billion in 2023, and CNY 16.35 billion in 2024, indicating a strong growth trajectory [7]. - In the first quarter of 2023, Chery reported an adjusted net profit of CNY 4.657 billion, an increase of approximately CNY 750 million compared to the same period last year [7]. Group 4: Market Position and Sales - In the first half of 2023, Chery sold 1,260,124 vehicles, a year-on-year increase of 14.5%, with electric vehicle sales reaching 359,380 units, up 98.6% [11]. - The company’s revenue from fuel vehicles remains strong at CNY 42.974 billion, while revenue from electric vehicles has reached CNY 18.665 billion, showing a steady increase in contribution from the new energy segment [11]. Group 5: Future Strategy - Chery aims to expand its product matrix and enhance product capabilities, with plans to utilize IPO proceeds for these initiatives [16]. - The company has set ambitious goals for its new energy market, targeting a significant increase in its market share and product offerings in the coming years [16]. Group 6: Competitive Landscape - Chery's current market position in the new energy sector is still developing, with a penetration rate of only 22.41% for new energy vehicles in 2024 [12]. - Despite the challenges, Chery's dual strategy of combining fuel and electric vehicles provides a stable revenue base, which may help mitigate risks associated with the volatile new energy market [17].