GIC-backed battery maker Envision AESC mulls $2 billion Hong Kong IPO
April 17, 2026 - 7:22 am
The Japan-headquartered EV battery manufacturer, controlled by China’s Envision Group and backed by Singapore’s sovereign wealth fund GIC, is considering an initial public offering (IPO) in Hong Kong that could raise up to $2 billion, according to Bloomberg. The move represents a shift from previous plans to list in the US.
Background on AESC:
AESC was initially formed in 2007 as a joint venture between Nissan Motor and NEC to supply batteries for Nissan’s Leaf electric vehicle. In 2018, Envision Group, a Chinese clean energy conglomerate led by founder Zhang Lei, acquired a controlling stake, while Nissan retained a minority position.
Envision, which also owns renewable energy businesses and AIoT platforms, raised over $1 billion from GIC, Sequoia Capital (via Sequoia China), and Primavera Capital in 2021. AESC has a global manufacturing footprint spanning Japan, the United States (Smyrna, Tennessee), the United Kingdom (Sunderland), and Europe.
The Sunderland plant is one of the UK’s largest battery manufacturing facilities, establishing AESC as a company with significant European industrial presence despite its Chinese ownership.
Shift to Hong Kong:
Previously, AESC was planning a US IPO but concerns under the US Inflation Reduction Act regarding Foreign Entities of Concern (which would disqualify EV battery makers tied to China from tax credits) seemingly led to the shift towards Hong Kong.
Hong Kong’s IPO market has been robust in 2025 and 2026, ranking as the top global market for IPO funds raised in 2025 with HK$285.8 billion across 119 listings according to PwC. The first quarter of 2026 alone saw a record HK$110 billion raised, driven by hard-tech and AI company listings. A $2 billion AESC raise would be among the larger deals in the current Hong Kong cycle. However, details including size and timing remain preliminary and subject to change.