(Bloomberg) — BYD Co., the Chinese electric-car maker
backed by Warren Buffett, plans to raise as much as 15 billion
yuan ($2.42 billion) in a private A-share placement.
The company said it will offer as many as 261.3 million
shares at a minimum of 57.40 yuan apiece, according to a
statement to the Shenzhen stock exchange Wednesday. The shares
closed at 76 yuan on May 22, before trading was suspended pending
the announcement.
BYD will use part of the proceeds to fund a battery
project, and development of new-energy vehicles, according to
the statement. The company is raising money from the stock
market after fellow carmakers Lifan Industry Group Co. and
Chongqing Changan Automobile Co. announced plans to sell a
combined 11.2 billion yuan of shares.
BYD, which counts Buffett’s Berkshire Hathaway Inc. as a
shareholder, is working with banks including China International
Capital Corp., China Merchants Securities Co., Guosen Securities
Co. and UBS Group AG on the plan, people familiar with the
matter said late last month.
To contact Bloomberg News staff for this story:
Keith Zhai in Beijing at
qzhai4@bloomberg.net
To contact the editors responsible for this story:
Tan Hwee Ann at
hatan@bloomberg.net
Greg Ahlstrand, Ben Scent