Shenzhen Senior Technology Material (SHE:300568, HKG:6067) launched its Hong Kong initial public offering on Friday, seeking to raise up to HK$1.34 billion.

The Chinese lithium-ion battery separator manufacturer is offering 149.5 million H shares at an indicative maximum price of HK$8.98 per share, according to a Hong Kong bourse filing.

The offering comprises 15 million shares for Hong Kong investors and 134.6 million shares for international investors, with the latter subject to reallocation.

The final offer price is expected to be determined by June 18, with allocation results due by June 22, ahead of the company's planned trading debut on June 23.

Net proceeds will be used primarily to strengthen research and development capabilities in solid-state electrolyte membranes, other functional membranes, and next-generation lithium-ion battery separator products.

The company also plans to use the funds to expand its overseas network in Malaysia and the U.S., invest in battery separator materials and semiconductor-related businesses, repay a loan for its manufacturing base in Sweden, and boost working capital.

The company secured 13 cornerstone investors, including NYSE-listed JinkoSolar and Sunwoda Electronic (SHE:300207), that committed to subscribe to $77.5 million worth of IPO shares.

China Securities (International) Corporate Finance, Huatai Financial Holdings (Hong Kong), CICC Hong Kong Securities, ICBC International Securities and Vast Harbour Securities are the joint global coordinators, joint bookrunners and joint lead managers of the IPO.