Chinese autonomous driving startup Pony AI is preparing for its debut on the U.S. stock market, aiming to raise up to $224 million. The company disclosed in a filing on Thursday that it plans to issue 15 million American Depository Shares (ADS) at an expected price range of $11 to $13 per share. If demand is strong, an additional 2.25 million shares could be issued, potentially valuing the company at $4.48 billion.
Pony AI’s latest target marks a significant reduction from its initial goal of $425 million, reflecting a broader trend of adjustment. Once valued at $8.5 billion in 2022 following a Series D funding round with Toyota’s participation, Pony now faces a more modest outlook. The minimum proceeds from this IPO could reach $165 million, falling short of the $200 million threshold it set in September.
Operating across major Chinese cities, Pony AI has a fleet of 190 robotrucks in Beijing and Guangzhou and over 250 robotaxis in Beijing, Guangzhou, Shenzhen, and Shanghai. The company charges fares for rides in all four cities, with fully driverless operations in three: Beijing, Guangzhou, and Shenzhen.
The IPO comes during a resurgence of Chinese companies listing on U.S. exchanges, following Beijing’s easing of a multi-year ban on offshore fundraising. Recent examples include Zeekr, a Chinese EV startup that raised $441 million in May, and WeRide, another autonomous driving company, which secured $440.5 million in October. Pony AI plans to list on Nasdaq under the ticker “PONY.”
The listing underscores U.S. investors’ continued interest in Chinese tech, even amid geopolitical tensions and ongoing tariffs on Chinese imports. Pony AI’s move also highlights the growing momentum of the autonomous driving sector within the broader automotive industry.
Featured image courtesy of Amanz