Chinese autonomous driving company WeRide reached a valuation of $4.21 billion following its initial public offering (IPO) in the United States, raising $120 million. The company sold 7.7 million American depositary shares (ADSs) at $15.50 each, the lower end of its target price range of $15.50 to $18.50 per ADS. In a concurrent private placement, WeRide secured an additional $320.5 million, bringing its total funds raised to $458.5 million. Trading began Friday on the Nasdaq, where WeRide joins an expanding number of Chinese tech companies taking advantage of more favorable regulatory conditions for U.S. listings.
WeRide, a key player in autonomous mobility, develops self-driving taxis, buses, vans, and street sweepers. The company operates pilot programs in 30 cities across seven countries, reflecting growing global interest in autonomous transport despite ongoing technical and regulatory hurdles. China has been proactive in authorizing self-driving trials, contrasting with the more cautious approach seen in the United States.
This IPO comes as the U.S. and China work to improve conditions for cross-border listings. Regulatory challenges have previously reduced the number of Chinese companies listing in the U.S., particularly after ride-hailing giant Didi Global was delisted due to government concerns. However, with a new set of rules encouraging IPOs and a resolution to the long-standing U.S.-China audit dispute in 2022, more Chinese companies are now eyeing U.S. markets. WeRide’s entry follows Chinese electric vehicle company Zeekr’s New York listing earlier in the year and the recent U.S. IPO filing from Toyota-backed autonomous driving firm Pony AI.
Morgan Stanley, J.P. Morgan, and China International Capital Corp led WeRide’s IPO, marking another significant step for Chinese tech firms amid favorable conditions for cross-border investment.
