Chinese PE Firm Cherami Considers Hong Kong IPO in 2024, Sources Say

Chinese private equity firm Cherami is considering an initial public offering in Hong Kong as soon as next year, according to people familiar with the matter, potentially joining peers such as Tian Tu Capital Co. in going public in the city.

(Bloomberg) — Chinese private equity firm Cherami is considering an initial public offering in Hong Kong as soon as next year, according to people familiar with the matter, potentially joining peers such as Tian Tu Capital Co. in going public in the city.

The Guangzhou-based firm is working with an adviser on preparations of the share sale, said the people, who asked not to be identified as the information is private. Its IPO size could be smaller than Tian Tu, which raised about HK$1.1 billion ($141 million) in its listing earlier this month, one of the people said.

Considerations are at an early stage and no final decision has been made on details such as IPO size and timeline, the people said. A representative for Cherami didn’t immediately respond to requests for comment.

Founded in 2013, Cherami manages assets worth more than 10 billion yuan ($1.4 billion), and counts portfolio companies in China and overseas, its website shows. It focuses on investing in electric vehicles, semiconductors and health care.

The private equity firm invested in Contemporary Amperex Technology Ltd., known as CATL, before the initial public offering of the world’s largest EV battery maker. It also invested in Ningbo Ronbay New Energy Technology Co., which produces and sells lithium battery electrode materials, and Semiconductor Manufacturing Electronics (Shaoxing) Corp. It also backs ride-hailing firm Chenqi Technology Ltd., which filed for a Hong Kong listing in August.

In 2017, Cherami founded an investment arm in Africa inspired by China’s Belt and Road initiative. It has since invested in a free trade zone in Nigeria and a special economic zone in Kenya, its website shows.

–With assistance from Amanda Wang.

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