Mubasher: The US-listed Chinese electric vehicle (EV) companies, Li Auto, Nio, and Xpeng, seek to list in Hong Kong in 2021 to attract more investors in China, sources familiar with the matter told Reuters.

Each of the EV makers could sell at least 5% of enlarged share capital in Hong Kong, which could generate proceeds of up to $5 billion, based on their New York market cap, the sources referred.

The companies have appointed advisors to manage the sales which could begin as early as mid-year.

Through this step, the companies seek to raise capital to finance technology development and expand sales networks to compete in the EV market where Tesla is accelerating sales of its China-made vehicles.

However, the three companies declined to comment.