According to two sources with direct knowledge of the matter at hand, Chinese electric vehicle (EV) maker Xpeng XPEV has increased the size of its U.S initial public offering (IPO) to around $1.49 billion.
“The company will price its shares at $15 each, after initially indicating they would be sold for $11 to $13 when the deal was launched on Friday,” said source.
Initially, Xpeng, which has the backing of China’s Alibaba, had targeted raising $1.11 billion.
According to sources, initially Xpeng had planned on selling 85 million American Depository Shares (ADS) but increased that to around 99.7 million shares following increased demand from investors.
Sources preferred the cover of anonymity since the information is not yet public.
Xpeng declined requests for comment.
Following its IPO, based on the size of the deal, Xpeng would be valued at around $11.2 billion.
Xpeng’s shares will start trading in New York on Thursday.
The IPO has a greenshoe option through which the Chinese company can issue a further 14.96 million shares within the next 30 days, thus potentially raising another $224.4 million.