China's robotaxi startup Pony AI raises $260 million in US IPO

(Reuters) -Pony AI said on Wednesday it had raised $260 million in its U.S. initial public offering, valuing the China-based robotaxi company at around $4.55 billion.

It sold 20 million American depositary shares in the offering priced to investors at $13 each, the high-end of its targeted range.

Pony AI's listing may show how U.S. investors approach China-based companies under Donald Trump's administration, especially as the two biggest economies in the world vie for dominance in high-stakes industries such as autonomous driving.

The company is set to join a growing cohort of China-based firms tapping U.S. capital markets following the resolution of a longstanding accounting dispute between the two countries.

Other China-based companies, including EV maker Zeekr and peer self-driving tech firm WeRide, also went public in the U.S. earlier in the year. Zeekr is trading 6.5% higher than its IPO price, while WeRide is up nearly 13%.

The Toyota (NYSE:TM ) Motor-backed company's valuation has come down from the $8.5 billion two years ago.

But the automotive sector's focus on disruptive technologies has led to interest from investors like Uber (NYSE:UBER ), who Bloomberg News reported as planning to invest in the IPO.



Pony AI, which will begin trading on the Nasdaq later on Wednesday, also raised an additional $153.4 million in concurrent private placement.

Goldman Sachs, BofA Securities, Deutsche Bank (ETR:DBKGn ), Huatai Securities and Tiger Brokers were the underwriters for the IPO.

Source: Investing.com