BYD's offering price offers a discount of about 7 percent to Friday's closing price.

BYD entered into a placing agreement after the close of trading on October 29 for a planned offering of 50 million additional new shares in Hong Kong, according to an announcement made by the company on Monday on the Hong Kong Stock Exchange.

The offering is priced at HK$276.0 per share, and if they are all placed, BYD receives total funding of about HK$13.8 billion ($1.77 billion).

After deducting commissions and estimated expenses, BYD's net proceeds are expected to be about HK$13.744 billion.

The funds will be used to replenish working capital, repay interest-bearing debt, invest in research and development and for general corporate purposes, BYD said.

BYD closed down 1.72 percent to HK$296.6 in Hong Kong on Friday, with the share issue price offering a discount of about 7 percent.