Pony.ai and WeRide, two leading robotaxi operators in mainland China, have taken their first steps towards share offerings on the Hong Kong stock exchange by filing fundraising plans with the securities regulator.
They will join a clutch of mainland companies seeking to tap global investors’ growing interest in China’s electric vehicle (EV) industry as the key players accelerate their global expansion plans.
According to documents published by the China Securities Regulatory Commission on Tuesday, the two companies – both listed on the Nasdaq – have passed through the required registration procedure and are allowed to float new shares in Hong Kong within 12 months.
Both firms proposed issuing 1.02 million shares on the Hong Kong exchange, which would enable Pony.ai to net as much as US$2.3 billion in proceeds, while WeRide could raise US$1.1 billion of fresh capital, based on the prices of their US-listed shares.
The plans come after the autonomous-driving companies pushed into foreign markets like the Middle East and Europe alongside expansion on the mainland, where their fully autonomous cars are providing taxi services in some designated areas.
Robotaxis have level 4 (L4) self-driving capabilities, which means that they do not require human intervention in most circumstances, according to SAE International, a global standards body.
Surging EV adoption has allowed Chinese automotive and technology firms to slash the costs of building electric cars with L4 capabilities, according to Paul Gong, head of China automotive research at Swiss bank UBS.
