(June 29): Autonomous-driving firm Momenta Global Ltd started taking investor orders for its Hong Kong initial public offering (IPO) to raise HK$5.9 billion (US$752 million or $973 million), pouncing on a multiyear high for share sales in the city.
The Suzhou-based company, which is backed by General Motors Co and Tencent Holdings Ltd, is offering about 19.9 million shares at HK$295.60 each, according to its listing document dated Monday. At that price, the company would be valued at the equivalent of nearly US$9 billion, it said.
With a guaranteed allocation in exchange for holding IPO shares for at least six months, 14 cornerstone investors are snapping up Momenta shares worth nearly US$376 million. They include Singapore wealth fund GIC Pte Ltd, asset managers Fidelity International Ltd and BlackRock Inc, and carmaker Mercedes-Benz Group AG, confirming an earlier Bloomberg News report.
Founded in 2016, Momenta supplies technology for mass-produced vehicles and robotaxi services. It is following other self-driving firms including Pony AI Inc and WeRide Inc in tapping Hong Kong’s capital markets to support development.
Momenta’s shares are slated to start trading on July 8. It plans to use proceeds from the IPO for research and development, scaling its robotaxi business, strengthening its mass-produced vehicles operations and funding working capital and general corporate purposes.
Hong Kong’s market for first-time share sales has been on a tear thanks to high-tech debutants like AI firms. Bloomberg Intelligence expects the city’s listing proceeds to top US$43 billion in 2026, which would be a six-year high.
See also: Mercedes, GIC to back autonomous driving firm Momenta’s IPO — Bloomberg
China International Capital Corp and Deutsche Bank AG are leading Momenta’s IPO.
In strong Hong Kong debuts on Monday, Baige Online Digital Technology Co soared more than 300%, while Alebund Pharmaceuticals Jiangsu Ltd and Crealights Technology Co also jumped.
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