China-based solar PV inverter and BESS firm Sungrow has submitted its application for a Hong Kong Stock Exchange IPO, after a period of strong revenue growth.
The Hefei-headquartered company is already listed on the Shenzhen Stock Exchange (300274.SZ), with a market capitalisation of around RMB330 billion (US$47 billion), and announced plans to list in Hong Kong in August.
China International Capital Corporation (CICC) is serving as sole sponsor for the process and Sungrow is reportedly seeking to raise around US$126.7 million in fundraising through the main board listing.
Hong Kong is emerging as a critical avenue for energy storage firms to diversify financing and accelerate global strategies amidst tighter rules on mainland Chinese exchanges, as we wrote in an ESN Premium piece looking at the growing broader trend Sungrow’s move is a part of.
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Another company, lithium-ion OEM Hithium, recently saw its application to list on the Hong Kong exchange lapse, amidst a lawsuit from larger competitor CATL (ESN Premium).
Strong revenue growth in BESS and internationally, but risks from US tariffs
Sungrow started out as primarily an inverter manufacturer but has expanded into battery energy storage systems (BESS). It has grown sales of its PowerTitan BESS unit to the point where its energy storage sales (40.89%) are larger than its inverters’ (35.21%), and it is regularly ranked as the largest BESS supplier globally.
Like US rival Tesla, its ability to deliver inverters for energy storage power conversion system (PCS) applications in-house has been considered one of its major strengths.
The company reported revenue of CNY 43.53 billion ($6.09 billion) for the first half of 2025, up 40.34% year-on-year, and international sales (58.3%) are now also larger than domestic (41.7%).
The firm has grown off the back of strong demand for solar and storage technologies globally. Its PowerTitan 2.0 AC block (with integrated PCS) has been particularly successful, which some partially attribute to it being a lower-cost alternative to Tesla’s Megapack. The firm has taken particularly large market shares in Europe.
As with any IPO prospectus, Sungrow also had to spell out its main business risks, including changing market demand, supply chain risk, relationships with key customers, manufacturing bases and the international landscape.
The latter is particularly relevant this year, with Donald Trump taking office in the US, the second-largest market for solar and energy storage deployment after China. His administration has imposed higher tariffs on China (though the final level of tariff has not yet been decided) as well as announced rules on qualifying for tax credits which seek to limit Chinese supply.
Sungrow was the second largest BESS supplier in North America after Tesla last year according to Wood Mackenzie, so it stands to lose out from these. However, it also has very strong market positions in Asia, Europe and the Middle East.
In its concluding note on that specific risk factor, Sungrow said in its prospectus: “Global trade policies could hinder access to critical technologies, systems or components that may be critical to our technology infrastructure, product and service offerings and business operations. We cannot assure you that we will be able to anticipate and mitigate all the above risks as we continuously expand our business, and failure to do so could adversely affect our business, financial condition and results of operations.”
See its IPO prospectus here, which was filed last week (5 October).
