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Horizon Robotics Raises $696 Million in Hong Kong IPO

Signage at the Horizon Robotics headquarters building at night in Beijing, China, on Wednesday, Oct. 16, 2024. Horizon Robotics, a Chinese provider of software and hardware used in autonomous drivi ng systems, is aiming to raise as much as HK$5.4 billion ($696 million) in its Hong Kong initial public offering, in one of the city’s most sizable deals this year. (Na Bian/Bloomberg)

(Bloomberg) -- Horizon Robotics, a Chinese provider of software and hardware used in autonomous driving systems, priced its Hong Kong initial public offering at the top of the range to raise HK$5.4 billion ($696 million), according to terms of the deal obtained by Bloomberg News. 

The company priced the shares at HK$3.99 each, the terms show. It has been taking orders for 1.36 billion shares at a range of HK$3.73 to HK$3.99 each.

Horizon Robotics expects to list shares Thursday. 

Order books were covered shortly after the company started taking investor orders last week, Bloomberg News reported, reflecting strong demand for one of Hong Kong’s biggest IPOs this year. Alibaba Group Holding Ltd. and Baidu Inc. are among cornerstone investors — which commit to holding shares for at least six months — that have agreed to buy a total of about $220 million of Horizon Robotics stock in the offering.

Horizon Robotics is set to debut a day after China Resources Beverage Holdings Co., which also priced its Hong Kong IPO at the top end of the marketed range. 

Hong Kong’s benchmark Hang Seng Index is up 20% this year following four years of losses.  

Goldman Sachs Group Inc., Morgan Stanley and China Securities International were joint sponsors for the IPO.

(Updates with names of banks in final paragraph.)

©2024 Bloomberg L.P.