By Martin Mou
Geely Automobile Holdings Ltd. shares rose as much as 4.6% Wednesday, as investors cheered the company's progress to list on the Shanghai Stock Exchange's Star board.
The company late Tuesday said its application to list on the board had been accepted by the exchange.
Geely, whose parent controls Volvo AB, expects to raise as much as 20 billion yuan ($2.93 billion) via its A-share listing.
The company plans to sell up to 1.73 billion new A-shares, according to its draft prospectus filed to the Shanghai bourse.
It aims to use the proceeds mainly to finance development of new car models and for cutting-edge technologies.
Geely, whose shares are already traded in Hong Kong, has appointed CICC and Huatai United Securities to lead the share sale in its home market.
Shares were last up 1.2% at HK$17.30.
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