Alibaba-Backed RoboSense Picks JPMorgan for Hong Kong IPO
(Bloomberg) -- RoboSense, a Chinese developer of sensor technologies used in self-driving cars, plans to work with JPMorgan Chase & Co. on its proposed Hong Kong initial public offering, people with knowledge of the matter said.
China International Capital Corp. and China Renaissance Holdings Ltd. are also helping the startup, formally known as Suteng Innovation Technology Co., whose potential listing next year could raise as much as $1 billion, they said, asking not to be identified as the information is private.
The Shenzhen-based company, which produces hardware with artificial intelligence to arm robots and cars with perception capabilities, was initially looking at a U.S. IPO but decided to list in Hong Kong instead, two of the people said.
Many China-based companies such as Lalamove and Xiaohongshu have shifted their share-sale plans to Hong Kong after the Chinese government cracked down on overseas listings with stringent data security and privacy requirements. U.S. regulators have also been pushing for better risk disclosures from Chinese businesses.
Deliberations are ongoing and details such as timing and fundraising size could change, the people said. Representatives for JPMorgan, CICC, and China Renaissance declined to comment. RoboSense didn’t immediately respond to requests for comment.
RoboSense is seeking to complete a funding round before the IPO, one of the people said.
Founded in 2014 by Chief Executive Officer Qiu Chunxin, RoboSense held over 600 patents as of last year, according to its website. In 2018, it received over 300 million yuan ($47 million) in strategic financing from investors including Alibaba Group Holding Ltd.’s Cainiao Network, the website shows.
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