(Yicai Global) Aug. 28 -- Nio announced plans to sell more new shares in New York, which could raise at least USD1.5 billion, as investors drive up the stock prices of China's electric carmakers.

Nio will offer 75 million American depositary shares with a 30-day option for underwriters Morgan Stanley, China International Capital Corporation and BofA Securities to sell an additional 11.25 million, according to a filing by the Shanghai-based company yesterday.

Nio's initial pubic offering raised USD1 billion in September 2018 and it garnered a further USD428 million in a follow-on sale of shares just two months ago.

The Tesla rival was the first Chinese new energy vehicle maker to list in the US, landing on the New York Stock Exchange. The firm has seen its stock price gain eight-fold so far this year. Compatriot Xpeng Motors soared 41 percent in its Nasdaq debut yesterday, while Li Auto has climbed almost 70 percent since going public at the end of last month.

Each new share will equal one Class A ordinary share, Nio said. The proceeds will mainly go to raise the share capital of and the company's stake in its Nio China unit, buy back the equity of certain minority shareholders, research and develop autonomous driving technologies, and grow global markets, it said.

Nio [NYSE: NIO] hit a record USD20.97 a share two days ago.

Shares of California-based Tesla, whose only overseas assembly plant is in Shanghai, have also rallied this year, jumping 435 percent.

Set up in 2014, Nio only began to generate revenue last year and has never turned a profit. It had negative cash flow from operating activities of USD1.25 billion last year and USD74 in the first six months ended June 30. Second-quarter revenue was USD531 million, a 147 percent rise on the year and forecasts USD583 million in the third quarter.

Strategic investors from Hefei, the Anhui province capital to which Nio is shifting its base to be closer to its main foundry Anhui Jianghuai Automobile Group, met their CNY5 billion (USD720 million) cash infusion obligations of as of June 29, per the filing, which added that current cash and equivalents will suffice for anticipated working capital for the next 12 months.

Editor: Ben Armour