(Yicai Global) Feb. 28 -- Chinese electric vehicle startup Nio said it has received the green light to proceed with a secondary listing in Hong Kong by way of introduction, meaning it will not sell new shares or raise any funds.

Nio’s shares would start trading on the Hong Kong Stock Exchange’s main board on March 10 under the stock code [HKG: 9866], the Shanghai-based company said today. The application is subject to final approval.

Nio went public in New York in 2018, when it raised USD1 billion from the sale of 160 million shares. So far, the company is the only US-listed Chinese electric carmaker to have chosen to seek a secondary listing by way of introduction. It is also seeking one in Singapore.

A number of Chinese businesses have opted for secondary listings in Hong Kong after the United States Securities and Exchange Commission stepped up scrutiny of foreign companies last year. Both Xpeng Motors and Li Auto, which also made their debuts in New York, joined the Hong Kong bourse last summer.

Xpeng and Li Auto have performed poorly in Hong Kong, falling below their offering prices, as the overall market has retreated since the second half of last year. Xpeng [HKG: 9868] closed at HKD135.10 (USD17.29) today, 18 percent below its offering price of HKD165, while Li Auto [HKG: 2015] ended at HKD110.10, down 6.7 percent from HKD118.

Nio has delivered more than 176,700 vehicles as of the end of last month, according to the latest data, after handing over 91,429 in 2021, more than double the previous year. The firm’s net loss narrowed 20 percent to CNY835 million (USD131.9 million) in the third quarter of 2021, while revenue soared 117 percent to CNY9.8 billion (USD1.6 billion).

Shares of Nio [NYSE: NIO] closed 1.3 percent down at USD20.94 each on Feb. 25, giving the company a market value of USD33.3 billion.

The joint sponsors of its Hong Kong listing are Morgan Stanley Asia, Credit Suisse Hong Kong, and China International Capital Corporation Hong Kong Securities, Nio said.

Editor: Futura Costaglione