CATL plunges more than 8% as the Chinese battery maker unveils $5 billion share placement

catl shares dropped 8.5% on tuesday after the chinese battery maker announced a roughly $5 billion share placement in hong kong. the stock closed at hk$618, below the placement price of hk$628.20. the company plans to raise about hk$39.1 billion after fees through a private placement, with funds earmarked for global new-energy projects, r&d, and general corporate purposes. catl listed in hong kong last may after a bumper ipo that raised more than $5 billion, largely for overseas projects including a plant in hungary. hsbc maintained buy ratings on both catl's mainland and hong kong shares, raising price targets to 547 yuan and hk$790 respectively. the bank cited strong earnings momentum after catl posted first-quarter net profit of 20.7 billion yuan ($2.8 billion), up 49% from a year earlier, and expects output levels of 85% to 90% to continue into the second quarter.