The new energy subsidiary of state-backed power giant China Resources Power Holdings is expected to beat the Shenzhen Stock Exchange’s fundraising record with its upcoming spin-off listing.

China Resources New Energy plans to raise CNY24.5 billion (USD3.4 billion) through its initial public offering, according to the prospectus filed on March 14. The standing record is CNY13.9 billion, set by Chinese grain and oil giant Yihai Kerry Arawana Holdings in 2020.

CR New Energy’s IPO application was the first accepted by the SZSE this year.

The IPO proceeds will be used to finance wind and solar power projects worth a total of CNY40.4 billion with a cumulative installed capacity of 7.2 million kilowatts, CR New Energy noted.

CR New Energy had net profits of CNY6.3 billion (USD869.8 million), CNY8.3 billion, and 6.2 billion in 2022, 2023, and the first nine months of 2024, with revenues of CNY18.2 billion, CNY20.5 billion, and CNY17.2 billion, respectively, the firm said.

Driven by China’s goals of achieving carbon peak in 2030 and carbon neutrality in 2060, CR New Energy rapidly expanded in the past years. Its wind and solar power capacity reached 28.2 million kilowatts as of Sept. 30 last year, accounting for 2.3 percent of the country’s total, CR New Energy added.

CR Power’s Hong Kong-listed shares [HKG: 0836] were trading up 3.5 percent at HKD18.86 (USD2.45) as of 10.40 a.m. today.