Chinese smart EV maker XPeng to join Hang Seng Composite Index
XPeng, a smart electric vehicle (EV) manufacturer headquartered in Guangzhou Province of China, will be added to the Hong Kong-based Hang Seng Composite Index on 20th of July this year. Electric vehicle manufacturers have been on buying list of many investors as this sector has been growing fast over the last couple of years.
Hang Seng Indexes Co. Ltd., a wholly-owned subsidiary of Hang Seng Bank, announced that the smart EV maker will be added to the index after closer of market on July 20, 2021, and the addition will come into effect on July 21, 2021.
Just a couple of days ago, the company declared that the Chinese manufacturer successfully met the Fast Entry Rule of an assortment of indexes.
In addition to Hang Seng Composite Index, XPeng will be added to the Hang Seng Composite Industry Index (Consumer Discretionary), the Hang Seng Consumer Goods & Services Index, the Hang Seng Composite LargeCap Index, and the Hang Seng Composite LargeCap & MidCap Index.
XPeng’s shares started trading on the Main Board of Hong Kong Stock Exchange Limited (HKEX) on 7th of July, under the “9868” stock code. The company’s HKEX-listed shares will be completely fungible with the manufacturer’s American depositary shares on the New York Stock Exchange (NYSE).
The listing of XPeng’s shares on the HKEX is a significant milestone for the Chinese manufacturer as well as the EV sector as a whole. It is worth-mentioning here that XPeng is the world’s first Smart EV manufacturer to be listed on the NYSE in the United States and HKEX in Hong Kong. It marked the first dual-primary listing of a Chinese manufacturer on the HKEX since the year of 2018.
Dr. Brian Gu, vice chairman & president of XPeng, noted that the company’s addition to the Hang Seng Composite Index as well as the primary listing status in Hong Kong were the key requirements for the Stock Connect scheme.
When asked for a comment, Dr. Gu said, “As a front runner in China’s Smart EV industry, we are delighted to be included in the Hang Seng Composite Index. Inclusion in the Hang Seng Composite Index and the primary listing status in Hong Kong are the key requirements for the Stock Connect scheme.”
This dual-primary listing of XPeng will not only broaden the EV maker’s access to capital by diversifying its investor base, but it will also fulfill its long-term strategic objective of getting listed in its home region, which will provide direct access to Chinese investors.
- Rivian raises $2.5 billion for second EV factory in U.S.
- Electric cars have lowest life-cycle greenhouse gas emissions: Study
- Indiana to spend $5.5 million to set up nearly five dozen EV fast charging stations
- Volvo’s 2022 C40 Recharge to cost $58,750 in US Market
- Las Vegas Sands Corporation reportedly eyeing Florida’s Jacksonville City to develop & operate casino