Electric vehicle maker Zeekr Intelligent Technology Holding said on Friday it was targeting a valuation of up to $5.13 billion in its US initial public offering (IPO), the first major floatation of a China-based company in more than two years, reports Reuters. Zeekr is looking to raise up to $367.5 million by selling 17.5 million American depositary shares (ADSs) priced between $18 and $21 each.
The IPO will test investors’ appetite for Chinese companies, given the simmering tensions between the two biggest economies in the world over trade, intellectual property and the future of Taiwan.
Six IPOs of Chinese companies raised $46.9 million in the US during the first quarter of 2024, down from $428 million at the same time last year, according to Dealogic data. A longstanding regulatory dispute between the U.S. and China, coupled with a crackdown from Beijing on some of its high-flying startups, had stalled Chinese companies from seeking US listings.