Manufacturing News

Soros-backed Chinese auto dealer launches IPO

Beijing-based car dealer China ZhengTong Auto Services Holdings has launched its initial public offering in Hong Kong to raise capital for its business expansion.

The company plans to raise $470 million through the stock offering. A fund managed by U.S. billionaire investor George Soros has invested $50 million in the IPO, according to Reuters.

The IPO proceeds will be used to support its expansion through mergers and acquisitions in China, said ZhengTong in the prospectus it has filed with the Hong Kong stock exchange.

ZhengTong runs 22 franchised dealerships for BMW, Mini, Audi, Nissan, Hyundai, Buick, Chevrolet and Honda in 14 Chinese cities.

In the first half of 2010, the company realized a profit of 186 million yuan ($27.8 million) out of revenue of 3.1 billion yuan.

Shares of ZhengTong are due to start trading on November 10, making the company the second listed Chinese car dealer.

In March, Zhongsheng Group Holdings, an auto dealership group based in the northeast port city of Dalian, was listed in Hong Kong.

More Chinese auto dealers will issue stocks soon. Last week, another Beijing-based car dealer, Lentuo International, has applied to be listed on the New York Stock Exchange so that it can raise capital to expand in China.

Most Viewed in 24 Hours


Start a Digital Twin Journey from Engineering Simulation

Accenture releases survey of digital transformation

CIMC Reduces Unplanned Downtime by 30% with Greater Operational Insight from ThingWorx

Ansys Simulation Speeding up Autonomous Vehicles

  • Tel : 0086-27-87592219
  • Email :
  • Add: 3B1 International Business Center, No. 18 Jinronggang Road (No.4), East Lake High-tech Development Zone, Wuhan, Hubei, PRC. 430223
  • ICP Business License: 鄂B2-20030029-9
  • Copyright © e-works All Rights Reserved