Hesai becomes the largest Chinese IPO in the US after DiDi

Hesai largest Chinese IPO in the US

Hesai Technology, a China-based developer of sensors used in autonomous driving, raised USD190 million on its Nasdaq debut, becoming the largest Chinese IPO in the US capital markets since October 2021.

Skadden advised Hesai on US federal securities law and New York State law, Commerce & Finance Law Offices advised on PRC law and Maples Group advised on Cayman Islands law.

Latham & Watkins acted as US federal securities and New York State counsel, while Fangda Partners acted as PRC counsel to the underwriters, Goldman Sachs, Morgan Stanley, Credit Suisse and Huatai Securities.

Partners Jeffrey Ding, Wang Mengjie and Brian Liu led the Fangda team, with support from data compliance partner Gil Zhang.

Hesai began exploring driverless LIDAR products in 2016 and since March 2021, has entered into co-operation with 14 autonomous driving companies, including ride-hailing platform DiDi, Baidu and WeRide.

Baidu, Xiaomi, Meituan and Robert Bosch are all Hesai Technology’s investors.

This transaction is the largest Chinese IPO after the crackdown on DiDi. The ride-hailing giant was forced to delist from the US not long after it went public in 2021, and since then there has been a slowdown in Chinese companies listing in the US.

Last year, only 10 Chinese companies successfully listed in New York, raising a total of USD376 million, the lowest recorded in 10 years.