China National Nuclear Power Corp, one of China’s two large state nuclear firms, plans to issue up to 3.89 billion new shares to raise more than $2.55 billion.
This follows a successful listing in Hong Kong by China General Nuclear Power Group which raised $3.16 billion in an IPO in December.
Shares in CGN Power, which along with China National Nuclear Power Corp controls 90% of China’s market for nuclear power, have surged by 24% since they were listed, reflecting Beijing’s push for energy sources such as nuclear and renewables in a bid to cut down on pollution.
China plans to raise its nuclear capacity to at least 58 gigawatts by 2020 and about 150 gigawatts by 2030, from the current 21 gigawatts. The country currently has 50 nuclear power reactors either in operation or under construction.