Chinese Self-Driving Startup WeRide Raises $440.5 Million in U.S. IPO

The Chinese autonomous vehicle startup WeRide raised $440.5 million during its initial public offering and a private placement in the United States this Friday.

According to the press release, WeRide made its initial public offering of 7,742,400 American depositary shares approved at $15.50 to trade at the Nasdaq Global Select Market under the symbol WRD. The offering is expected to close on Monday, October 28.

@WeRide is now officially listed on #NASDAQ, as the world’s first publicly listed universal #autonomousdriving technology company and the first publicly listed Robotaxi company. A huge thank you to our investors, clients, and partners! https://t.co/bhxv0WBNV6

— WeRide.ai (@WeRide_ai) October 25, 2024

Investors purchased $320.5 million through private placement, and WeRide expects to reach $458.5 million in total, including additional shares.

According to Reuters, the number of Chinese companies entering the American stock market has significantly decreased in the past few years due to Chinese regulations, especially after the ridesharing company Didi Global was forced to exit the New York Stock Exchange.

After China’s regulations softened, more companies are coming back to join the American stock market and WeRide is an example. After this IPO, the startup’s valuation surpassed $4 billion.

WeRide develops multiple kinds of autonomous driving vehicles but has been standing out in the robotaxi sphere. In China, the boom of robotaxis is making drivers worry about their future and WeRide’s vehicles have been taking the streets along with the competitor’s vehicles.

China has been quickly approving permits and documentation for multiple startups like Apollo Go, AutoX, and Pony.ai. But WeRide is one of the companies making large efforts to reach the American market, despite U.S. strict regulations on its products operating in the country.

Due to national concerns, the Biden administration proposed a rule to forbid Chinese hardware and software in autonomous vehicles on American territory.