Alibaba-backed XPeng Eye is the latest China electric vehicle manufacturer for China listings

China’s electric vehicle manufacturer XPeng, whose investors include Internet heavyweight Alibaba Group and Beijing smartphone supplier Xiaomi, filed to go public in the United States on Friday.

The move comes after the June 30 Nasdaq listing of Lee Auto, which raised $ 1.1 billion and whose shares have soared. They closed at $ 16.89, down 8.7% on Friday, but still well above their IPO price of $ 11.50.

XPeng aims to list on the New York Stock Exchange under the symbol XPEV. Its filing states that it is raising $ 100 million, but the amount can be increased later. Its listing bid also follows US stock gains by Tesla and another EV manufacturer, China-based Nio.

XPeng, headquartered in the southern Chinese city of Guangzhou, is owned by 31% controlled by CEO He Xiaopeng and 14% owned by Alibaba. Among its well-known investors, XPeng owned 6% of IDG-linked funds, 4% of Morningside-related funds, and 3.8% of GGV funds. Smartphone maker Xiaomi owns a stake, and in July, XPeng raised $ 900 million from a group of investors including Aspex, Coatue, Hillhouse Capital, Sequoia Capital China, Qatar Investment Authority, and Mubadala, the Abu Dhabi sovereign wealth fund.

Passenger vehicle sales increased by 21.1 million units in XPeng 2019, according to data from the IHS Market Report cited in Xpeng’s filing. The penetration rate of EVs in the passenger vehicle market was 4.2%, or about 893,700 units in 2019, and grew by 29.4% year-on-year to reach 4.2 million units in 2019-2025, representing 16.2% of China’s passenger vehicle market According to the IHS Market Report.

The prospectus states that in-vehicle technology functions are the most important factor for Chinese consumers. It fits in with XPeng’s technical roots and aims to sell autonomous driving vehicles. In addition, the Chinese government has announced plans to achieve a 30% penetration rate for smart and connected vehicles among total vehicle sales by 2025.

He was the co-founder of UCWeb, the first browser to own $ 1.2 billion in the Forbes Real-Time Billionaires List, which was wholly acquired by Alibaba in 2014, as well as an Alibaba executive. The other XPeng co-founders, Xia Heng and He Tao, a large government-controlled automaker, were senior executives of the Guangzhou Automobile Group.

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