XPeng Just Raised About $2.45 Billion as Investors Snapped Up New Shares
Chinese electric-vehicle maker XPeng (NYSE: XPEV) said that it sold 55.2 million new American depositary shares at a price of $45.00, raising about $2.45 billion and suggesting that investor interest in the company's stock remains high.
XPeng is one of several electric-vehicle makers that have recently moved to raise additional cash with follow-on offerings of stock, taking advantage of intense investor interest in the sector, and the correspondingly high valuations for their companies, to pad their balance sheets and fund future-product initiatives.
Among them: NIO (NYSE: NIO) said on Monday that its own offering will raise about $2.65 billion when it closes later this week; Li Auto (NASDAQ: LI) raised about $1.5 billion earlier this month; and sector leader Tesla (NASDAQ: TSLA) raised about $5 billion via an at-the-market offering last week.
Source Fool.com
