Chinese self-driving company WeRide has disclosed its intentions to embark on an initial public offering (IPO) in the United States. The announcement coincides with China’s securities regulator, the China Securities Regulatory Commission (CSRC), acknowledging the submission of WeRide’s filings for an offshore listing, signifying a pivotal step in the company’s business strategy.
WeRide’s plan involves the issuance of a significant 159,045,000 shares of ordinary stock, with aspirations to be listed on either the renowned New York Stock Exchange or the tech-oriented Nasdaq exchange. The disclosure, available on the CSRC’s official website, provides insights into WeRide’s expansion goals and its interest in tapping into the US capital market.
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This development aligns with the altered regulatory landscape following controversies involving Luckin Coffee and the complex trajectory of Didi’s US listing. In response, the CSRC implemented fresh regulations at the close of 2021, necessitating Chinese firms to obtain domestic regulatory clearance prior to pursuing listings on US stock exchanges. This policy shift has brought renewed attention to the IPO aspirations of Chinese companies seeking overseas investment avenues.
While WeRide’s IPO plans are now public, the announcement refrains from delving into intricate details about the company’s IPO strategy beyond the proposed share volume and the target exchange. Notably, the disclosure confirms the CSRC’s reception of WeRide’s submission, yet it refrains from conferring implicit approval or endorsement of the company’s application.
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The dynamic landscape of autonomous driving is underscored by similar intentions within WeRide’s sector. Recently, the CSRC disclosed that Innovusion, a LiDAR provider for prominent industry player Nio (NYSE: NIO), has initiated steps toward a US IPO. However, the IPO journey is laden with challenges, as evidenced by Innovusion being requested to furnish supplementary materials addressing inquiries spanning compliance, share control mechanisms, and other critical aspects.
WeRide, established in 2017 in Guangzhou, has established a presence with a diverse product portfolio encompassing Robotaxi, Mini Robobus, Robovan, Robo Street Sweeper, and SAE L2-L4 solutions tailored for advanced intelligent driving. The company’s widespread reach is demonstrated by its ongoing autonomous driving tests and operations across 25 cities spanning five countries, underscoring its ambition and commitment to scaling its technological prowess internationally.
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Boasting a self-driving fleet exceeding 500 vehicles and an impressive track record spanning over 16 million kilometers of autonomous driving, WeRide holds significance in the autonomous driving sphere. Reports from earlier this year alluded to WeRide’s quiet filing for an IPO, speculating a fundraising goal of up to $500 million. In subsequent news, the company unveiled the closure of a Series C funding round, valuing the company at a substantial $3.3 billion, although specific funding figures were not disclosed.
As WeRide’s impending IPO stands at a critical juncture, carrying the potential to reshape the autonomous driving landscape, the company navigates the intricate regulatory landscape with its sights set on US stock exchanges. As regulatory assessments unfold, the tech and investment communities remain keenly observant of this high-stakes journey into the heart of the US capital market.
