An employee conducts checks on Dongfeng Honda cars at the company's assembly line in Wuhan, capital of Hubei province. (ZHOU CHAO / FOR CHINA DAILY)

Dongfeng Motor Group Co surged in the Hong Kong Special Administrative Region after unveiling plans to also list on the Chinese mainland, the latest example of such intentions providing a big boost to a mainland firm’s existing shares.

Dongfeng’s deal proceeds would go toward projects including high-end new energy vehicles, the company said in a late Monday exchange filing

The automaker rose a record 27 percent on Tuesday before closing 14 percent higher, the most since September 2015, on volume more than eight times the three-month average. Dongfeng’s board approved a plan to list on Shenzhen’s ChiNext board, which will soon see the first batch of listings under relaxed rules.

ALSO READ: Four factors that can sustain a bull rally

The move comes amid a wave of offshore-traded mainland companies returning to home listings, thanks to authorities’ efforts to attract high-tech firms to local exchanges and escalating Sino-US tensions that have made American bourses a less appealing destination for some.

Such plans for an A-share listing have generally been well-received, adding more to companies’ incentive to sell shares onshore.

Semiconductor Manufacturing International Corp has soared about 70 percent in Hong Kong since announcing in early May it would seek a listing on Shanghai’s high-tech Star board. 

ALSO READ: Vehicle sales up again in June, but annual outlook still bleak

Dongfeng’s deal proceeds would go toward projects including high-end new energy vehicles, the company said in a late Monday exchange filing. The A shares wouldn’t make up more than 10 percent of Dongfeng’s enlarged share count. The company’s market value reached HK$55 billion (US$7.1 billion) with Tuesday’s stock gain.

READ MORE: 1st companies get IPO approval on newly-reformed ChiNext