By Clarence Leong

Electric-car maker Li Auto Inc.'s shares made a muted market debut in Hong Kong, after the company raised 11.80 billion Hong Kong dollars (US$1.52 billion) from a stock offering.

The stock lost as much as 2.1% in early Thursday trading and was recently 0.7% lower at HK$117.20. The company had priced shares at HK$118.00 each.

The Beijing-based maker of electric vehicles, which is also listed on Nasdaq, plans to use some of the offering's proceeds for research and development related to batteries, intelligent vehicles and autonomous driving. It also plans to install more charging points.

The listing comes amid heightened investor concerns about Beijing's monthslong campaign to rein in the country's powerful technology sector, which has led to authorities taking action against tutoring, ride-hailing and food-delivery companies.

Rival XPeng Inc. began trading in Hong Kong in early July. Its shares were recently trading at HK$162.70, down 1.4% from their listing price.

Write to Clarence Leong at clarence.leong@wsj.com

(END) Dow Jones Newswires

08-11-21 2332ET