The Beijing-based company planned to sell 639 million existing shares held by major shareholders to at least six investors for HK$9.99 each, representing a 5.75 per cent discount to its closing price on Thursday, Horizon said in a filing with the Hong Kong stock exchange on Friday. The proceeds would be used to expand in overseas markets, for research and development, and to invest in emerging sectors such as robotaxi initiatives and upstream and downstream business partners, it said.

The placement represented an opportunity to raise capital while broadening the shareholder base, Horizon said.

In a top-up placement, major shareholders first sell their existing shares and then subscribe to new ones as a replacement, allowing companies to raise funds quickly.

Horizon’s shares slumped 6.4 per cent to HK$9.92 in Hong Kong on Friday. The stock has jumped 175 per cent this year.