Chinese autonomous driving company Momenta listed on the Hong Kong Stock Exchange (HKEX) on July 8, with shares rising 3% in early trading to around HKD 304; the IPO size was HKD 5.89 billion, with an offering price of HKD 295.60 per share. According to the prospectus, Momenta expects 2025 revenue to reach RMB 2.41 billion, up from RMB 1.32 billion in 2024.
Momenta Stock IPO Size HKD 5.89 Billion, Offering Price HKD 295.60
According to Momenta's prospectus, the company's IPO on the Hong Kong Stock Exchange has a size of HKD 5.89 billion (approximately $751 million), with an offering price of HKD 295.60 per share; on the first day of trading, shares rose 3% in early trading to around HKD 304.
The joint sponsors for the IPO are China International Capital Corporation (CICC) and Deutsche Bank; cornerstone investors include the Government of Singapore Investment Corporation (GIC), Fidelity International, BlackRock, and strategic partner Mercedes-Benz.
Use of IPO Proceeds: 60% to Strengthen Core Technology
According to the prospectus, Momenta plans to allocate the net IPO proceeds over the next five years as follows:
60%: Enhance core technology, including proprietary algorithms, automated toolchains, and the Momenta Mainline platform
20%: Accelerate the commercialization and scale development of robotaxi service solutions
Remaining: Used to strengthen solutions for mass-produced vehicles, support next-generation product development, and as working capital
2025 Expected Revenue of RMB 2.41 Billion
According to the prospectus, Momenta expects 2025 revenue to reach RMB 2.41 billion, growing from RMB 1.32 billion in 2024; the company was founded in 2016, headquartered in Suzhou, with CEO Cao Xudong having previously worked as a researcher at Microsoft Research Asia.
Momenta develops autonomous driving software (covering emergency assistance, combined driving assistance, and highly automated driving), has launched a commercial autonomous taxi service in Shanghai, and has established strategic partnerships with Audi, Honda, and Mercedes-Benz.
Momenta Reaches Robotaxi Cooperation with Uber and Grab
According to reports, Momenta has previously reached an agreement with Uber to launch autonomous taxi services in Europe; in December last year, Momenta signed a strategic cooperation agreement with Grab to jointly bring advanced autonomous driving technology to the complex urban transportation market in Southeast Asia.
Other companies listing on the Hong Kong Stock Exchange this week include Apple supplier Luxshare Precision and semiconductor foundry Nexchip. Louis Lau, Head of Hong Kong Capital Markets at KPMG China, said: "We are optimistic about the prospects of the Hong Kong IPO market. The successful listing of AI-related companies has solidified Hong Kong's position as one of the world's top AI financing centers."
FAQ
What is the size and offering price of Momenta's Hong Kong IPO?
According to Momenta's prospectus, the IPO on the Hong Kong Stock Exchange has a size of HKD 5.89 billion (approximately $751 million), with an offering price of HKD 295.60 per share; on the first day of listing, shares rose 3% in early trading to around HKD 304.
Who are the cornerstone investors in Momenta's IPO?
According to the prospectus, cornerstone investors include the Government of Singapore Investment Corporation (GIC), Fidelity International, BlackRock, and strategic partner Mercedes-Benz; the joint sponsors for the IPO are CICC and Deutsche Bank.
How does Momenta plan to use the IPO proceeds?
According to the prospectus, Momenta plans to allocate 60% of the net proceeds over the next five years to strengthen core technology (algorithms, toolchains, Mainline platform), 20% to the commercialization of robotaxi services, and the remainder for next-generation product development and working capital.
