CATL to raise $9 billion for expansion and research

China‘s largest automotive lithium-ion battery maker, Contemporary Amperex Technology Co. Ltd. (CATL), prepares to raise about 58.2 billion yuan ($8.98 billion) through private placement, mainly for production expansion and research.

In a filing to the Shenzhen Stock Exchange on Friday, the company said it will issue about 232,900,780 new shares, or 10 percent of the total equity before the stock issue, to about 35 investors.

CATL said most of the proceeds from the offering will be spent in five lithium-ion battery production facilities. The rest will be invested in research and development and to support its working capital.

The stock issue is currently subject to regulatory approvals.