Horizon Robotics approved by CSRC for Hong Kong IPO

Beijing (Gasgoo)- On August 9, China’s Securities Regulatory Commission (CSRC) announced that smart driving computing solution provider Horizon Robotics has received approval for its listing in Hong Kong.

Horizon Robotics, which submitted its IPO prospectus in late March this year, plans to issue up to 1.15 billion ordinary shares and list on the Hong Kong Stock Exchange, aiming to raise approximately $500 million.

Founded in 2015, Horizon Robotics released its first-generation Brain Processing Unit (BPU) in 2016 and launched its Journey 1 automotive-grade processor in 2017, followed by the mass production of the Journey 2 AI chip in 2019. Since then, Horizon Robotics has expanded its business to offer integrated hardware and software solutions for intelligent driving.

According to its prospectus, the company’s revenues were 467 million yuan in 2021, 906 million yuan in 2022, and 1.552 billion yuan in 2023, reflecting a compound annual growth rate of 82.3%. Specifically, its automotive solutions have been the main revenue driver, generating 410 million yuan, 801 million yuan, and 1.47 billion yuan in revenues for the respective years.

Horizon Robotics’ automotive solutions are divided into product solutions and licensing & services, with the latter showing significant growth. In 2023, licensing & services revenues reached 963 million yuan, surpassing the 506 million yuan in product solutions.

Since its inception, Horizon Robotics has secured 14 rounds of funding from prominent investors such as Hillhouse Capital, China International Capital Corporation, and Sequoia China, as well as investments from major automotive companies including FAW Group, GAC Capital, Great Wall Motor, Dongfeng Asset Management, and BYD. Notably, the company’s most recent strategic investment was disclosed in September 2022 by Chery Automobile, valuing the company at approximately $8.7 billion (about 62.3 billion yuan).