Aridge, the flying car developer affiliated with Chinese electric vehicle manufacturer Xpeng, has secured approximately US$200 million in novel investment as it progresses toward a potential initial public offering (IPO) in Hong Kong later this year.
The funding round included participation from existing investors GL Ventures, the venture capital arm of Hillhouse Investment and HongShan, previously known as Sequoia China, according to a company statement released Friday. This latest capital injection brings Aridge’s total equity financing to roughly US$1 billion, establishing it as the most well-funded flying car company in Asia, according to reports.
The company, formerly operating as AeroHT, confidentially submitted its IPO application to the Hong Kong Stock Exchange, with JPMorgan Chase and Morgan Stanley appointed as underwriters, the South China Morning Post reported in January, citing sources familiar with the matter. The offering is anticipated to occur this year.
Xpeng’s move to take Aridge public comes as the company accelerates its efforts to scale production capabilities. The IPO plans were revealed as the flying car sector gains momentum, with several companies vying to commercialize electric vertical takeoff and landing (eVTOL) aircraft. Bloomberg News reported earlier this month that Xpeng had hired banks to manage the IPO.
Aridge is focused on developing and manufacturing flying cars, aiming to address urban congestion and provide a new mode of transportation. The company’s progress is being closely watched by industry analysts and investors, as the flying car market remains largely nascent but holds significant potential. Caixin Global reported that the listing is occurring as flying cars move closer to becoming a reality.
The company did not disclose a specific timeline for the IPO beyond stating We see expected this year. Electrive.com reported that Xpeng is taking its flying car subsidiary public.
