Pony AI, a Chinese autonomous driving firm backed by Toyota, has filed for an initial public offering (IPO) in the United States. This marks another indication of rising investor interest in new listings amid easing regulatory pressures. The IPO market has seen an uptick recently, spurred by the U.S. Federal Reserve’s policy-easing cycle and stock indexes nearing record highs.
Pony AI, in which Toyota holds a 13.4% stake, reported a significant increase in revenue, nearly doubling to $24.7 million in the first half of 2024. However, the company also posted a net loss of $51.3 million for the same period, an improvement from the $69.4 million loss reported last year. The firm operates a fleet of over 250 robotaxis, which have logged more than 33.5 million kilometers of autonomous driving, including 3.9 million kilometers without a driver.
In 2022, Pony AI was valued at $8.5 billion, and last year it secured $100 million in funding from Saudi Arabia’s NEOM. Despite these milestones, industry experts emphasize that the widespread deployment of robotaxis may still take time due to safety and reliability concerns. Challenges such as weather conditions, complex intersections, and unpredictable pedestrian behavior are cited as significant hurdles.
The filing comes as the number of Chinese firms seeking U.S. IPOs has dwindled in recent years following Beijing’s 2021 crackdown on offshore capital-raising. Pony AI’s move follows other notable listings, including EV maker Zeekr’s debut in May and courier delivery firm BingEx’s recent Nasdaq listing earlier this month.
Pony AI plans to list its shares on the Nasdaq under the ticker symbol “PONY,” though it has yet to disclose the size of the offering. The IPO will be underwritten by Goldman Sachs, BofA Securities, Deutsche Bank, Huatai Securities, and Tiger Brokers.
Featured Image courtesy of Amanz
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