Chinese robotaxi firm Pony AI files for US IPO (updated)
17/10/2024 19:26
(Adds details from filing in paragraphs 3 and 4, context on
company and sector in paragraphs 5, 6, 8)
Oct 17 (Reuters) - China-based autonomous driving firm
Pony AI, backed by automaker Toyota 7203.T , filed for an
initial public offering in the U.S. on Thursday, in another sign
of growing investor interest in new listings and easing
regulatory pressures.
Activity in the IPO market has picked up pace in recent
weeks, buoyed by the U.S. Federal Reserve kicking off its highly
anticipated policy-easing cycle and benchmark indexes trading
near record high levels.
Pony AI, in which Japan's Toyota owns a 13.4% stake,
revealed that its revenue nearly doubled to $24.7 million in the
first half of 2024. Net loss attributable to the company was
$51.3 million in the same period, compared with $69.4 million
last year.
The company said it operates a fleet of over 250 robotaxis,
which have accumulated over 33.5 million kilometers of
autonomous driving mileage, including over 3.9 million
kilometers of driver-less mileage.
The company was valued at $8.5 billion when it raised funds
in 2022. It also secured $100 million from Saudi Arabia's NEOM
last year.
Even so, analysts and industry experts note that
establishing robotaxis may still take years, primarily due to
the challenges of ensuring safety and reliability. They cite
accidents and the technology's struggles to respond to
situations such as inclement weather, complex intersections and
unpredictable pedestrian behavior.
The number of Chinese companies that pursued stock market
flotations in the U.S. dropped in the past few years after
Beijing clamped down on offshore capital-raising in 2021.
EV maker Zeekr's ZK.N debut in May was the first big listing
by a Chinese company in the U.S. since then. Earlier this month,
courier delivery firm BingEx FLX.O also listed on the Nasdaq.
Pony AI has applied to list on the Nasdaq stock exchange
under the ticker symbol "PONY." The company did not reveal the
size of its offering.
Goldman Sachs, BofA Securities, Deutsche Bank, Huatai
Securities and Tiger Brokers are the underwriters of the
offering.
(Reporting by Manya Saini and Niket Nishant in Bengaluru;
Editing by Shilpi Majumdar and Alan Barona)
((Manya.Saini@thomsonreuters.com; X: manya__saini))