Horizon Robotics, a leading Chinese company in the autonomous driving sector, is aiming to raise up to $696 million (HK$5.4 billion) through an initial public offering (IPO) on the Hong Kong stock exchange. This would make it one of the largest public offerings in the city this year. Horizon, backed by Intel Corp., plans to offer 1.36 billion shares at a price range of HK$3.73 to HK$3.99 each. Investor interest has been strong, with the IPO order books covered shortly after the offering opened.
Cornerstone investors, including Alibaba Group, Baidu Inc., and a government-affiliated fund from Ningbo, have committed $220 million to the offering. Their involvement signals strong confidence in Horizon Robotics’ prospects despite broader economic challenges in China, including a slowdown in IPO activity. The company's shares are expected to begin trading on October 24.
This IPO follows a series of positive developments in the Hong Kong market, which recently saw significant listings such as Midea Group's $4.6 billion IPO. Horizon Robotics aims to capitalize on the renewed investor interest in Chinese tech firms. The company’s position as a key player in the rapidly growing autonomous driving space, coupled with Intel’s backing, has bolstered investor confidence.
However, Horizon's public offering will face scrutiny, especially considering the mixed performance of other Chinese autonomous driving companies in the public markets, such as Black Sesame International Holding, whose shares fell after their IPO debut.
The deal is being managed by Goldman Sachs, Morgan Stanley, and China Securities International. As one of the most anticipated IPOs of the year, Horizon Robotics’ listing will serve as a key barometer for the health of China's tech sector and the broader Hong Kong IPO market.
Cornerstone investors, including Alibaba Group, Baidu Inc., and a government-affiliated fund from Ningbo, have committed $220 million to the offering. Their involvement signals strong confidence in Horizon Robotics’ prospects despite broader economic challenges in China, including a slowdown in IPO activity. The company's shares are expected to begin trading on October 24.
This IPO follows a series of positive developments in the Hong Kong market, which recently saw significant listings such as Midea Group's $4.6 billion IPO. Horizon Robotics aims to capitalize on the renewed investor interest in Chinese tech firms. The company’s position as a key player in the rapidly growing autonomous driving space, coupled with Intel’s backing, has bolstered investor confidence.
However, Horizon's public offering will face scrutiny, especially considering the mixed performance of other Chinese autonomous driving companies in the public markets, such as Black Sesame International Holding, whose shares fell after their IPO debut.
The deal is being managed by Goldman Sachs, Morgan Stanley, and China Securities International. As one of the most anticipated IPOs of the year, Horizon Robotics’ listing will serve as a key barometer for the health of China's tech sector and the broader Hong Kong IPO market.