Pony AI files for US IPO as robotaxi market gains traction
Pony AI files for US IPO as robotaxi market gains traction
Chinese autonomous driving company Pony AI, backed by Toyota, has officially filed for an initial public offering (IPO) in the US, adding to a resurgence in sought after new listings, as regulations become more manageable. The filing, released Thursday, comes as the US IPO market roars back to life with the Federal Reserve expected to begin policy easing and the major stock indexes poised to hit record highs.
Revenues nearly doubled during the first half of 2024, to USD 24.7 million, Pony AI said. The company also incurred a net loss of USD 51.3 million during the same period versus a loss of USD 69.4 million in the prior year, but the all-items index fell 0.4 percent. With over 250 robotaxis on the fleet the company has driven over 33.5 million kilometers autonomously with over 3.9 million kilometers without a driver.
Pony AI has also received USD 100 million from Saudi Arabia's NEOM, which valued the company at USD 8.5 billion in its last funding round in 2022, according to Reuters. Yet analysts warn it will take years for robotaxis to become widely used. However, the challenging aspects include guaranteeing safety and reliability, which continues to be fraught even in harsh weather conditions, crowded traffic situations, as well as variable pedestrian behavior.
In recent years, the landscape for Chinese companies hoping to list in the US has become radically different due to Beijing's clampdown on offshore funds raising a year ago. Pony AI follows a successful IPO for EV maker Zeekr in May, the first major listing by a Chinese firm in the US since the regulatory tightening. Another delivery company, BingEx, has also struck it big on the Nasdaq with an earlier debut in the month.
Pony AI has applied to list on the Nasdaq under the ticker symbol "PONY," although it has not disclosed the size of its offering. The underwriting team for the IPO includes Goldman Sachs, BofA Securities, Deutsche Bank, Huatai Securities, and Tiger Brokers.
