China Resources New Energy, one of the country’s biggest renewable energy providers, raised Rmb24.5bn ($3.6bn) in a listing in Shenzhen yesterday. Shares rose as much as 198 per cent, triggering a brief trading halt, before settling up about 150 per cent. In China, shares of companies cannot rise more than 10 per cent in a day except during the first five trading days after a listing.
The company is the clean energy spin-off of China Resources Power, a Hong Kong-listed group whose ultimate shareholder is China Resources, a sprawling state-owned conglomerate with business interests ranging from beer to property.
China Resources New Energy develops and operates wind and solar power plants across 31 provincial-level divisions, with a total capacity of 41.6GW, larger than the power capacity of Norway, according to 2024 data from the US Energy Information Administration. In the first quarter it reported revenues of Rmb6.2bn and net profit of Rmb1.6bn.
The issuance attracted strong interest from retail investors and came amid signs that mainland China’s equity capital markets are recovering after a prolonged period of slow approvals from regulators.