Hesai Group (02525) will conduct its IPO subscription from September 8-11, 2025, planning a global offering of 17 million shares. The Hong Kong public offering accounts for 10% while the international offering comprises 90%, with an additional 15% over-allotment option. The offering price will not exceed HK$228.00 per share, with each board lot consisting of 20 Class B ordinary shares. The Class B ordinary shares are expected to commence trading on the Stock Exchange on September 16, 2025.
The company is a global leader in three-dimensional Light Detection and Ranging (LiDAR) solutions. Hesai Group designs, develops, manufactures and sells advanced LiDAR products. The company's LiDAR products are widely applied in: (i) passenger cars or commercial vehicles equipped with Advanced Driver Assistance Systems, (ii) autonomous vehicle fleets providing passenger and freight mobility services, robotics and other non-automotive industries, such as Automated Guided Vehicles/Autonomous Mobile Robots, delivery robots, agricultural vehicles, port and yard automation, and other extensive industrial applications as well as stationary applications.
With advanced ASIC and other LiDAR technologies, proprietary autonomous design and production capabilities, and platformized architecture, the company provides LiDAR products that balance performance, quality and cost to the expanding ADAS and robotics markets. According to CIC data, in terms of commercialization and financial performance, the company is a leading global LiDAR company. Hesai Group paves the way for LiDAR development from technological innovation to large-scale production and widespread application, driving the evolution of intelligent vehicles. The company's revenue scale and shipment volumes demonstrate its industry position.
According to CIC data, by revenue, the company ranked as the world's largest LiDAR supplier in 2022, 2023 and 2024. According to CIC data, as of September 2022, the company became the world's first LiDAR company to achieve monthly shipments of 10,000 units; as of December 2024, the company became the world's first LiDAR company to achieve monthly shipments exceeding 100,000 units.
Assuming an indicative offering price of HK$228.00 per share and the over-allotment option is not exercised, the net proceeds from the global offering will be approximately HK$3.706 billion. Among these, approximately 50% of the net proceeds are expected to be allocated for R&D investment. Approximately 35% of the net proceeds are expected to be allocated for investment in the company's production capacity to ensure continuous delivery of high-performance, high-reliability products meeting customers' evolving demands. Approximately 5% of the net proceeds are expected to be allocated for business development to accelerate the company's business expansion. Approximately 10% of the net proceeds are expected to be allocated for working capital and general corporate purposes to support the company's business operations and growth.
Additionally, the company has entered into cornerstone investment agreements with cornerstone investors, whereby the cornerstone investors have agreed to subscribe for, or procure their designated entities to subscribe for, a certain number of offering shares at the international offering price, subject to certain conditions. The total amount of shares available for purchase is approximately US$148 million. The cornerstone investors include: HHLR Advisors, Ltd., Taikang Life Insurance Co., Ltd., WT Asset Management Limited, Grab Inc., Hongda Group (Hong Kong) Limited, and Commando Global Fund.