NIO rumored to file for IPO in US in September

1 min read

传蔚来汽车9月在美上市,市值约370亿美元超拼多多 —Tencent Tech

What happened: China’s leading new energy vehicle startup NIO is said to file for an IPO to raise more than $2 billion in the US. A successful IPO would boost NIO’s valuation to $37 billion. The company refused to comment on the information. Local media reports that NIO has absorbed more than RMB 15 billion so far, but a source familiar with the matter says the company is in a loss up to RMB 5.1 billion.

Why it’s important: NIO predicts a net profit of RMB 16.1 billion by 2021. However, having seen the performance of other Chinese companies that have landed IPOs recently, the financial market is gradually turning rational. Sustainable growth, key competitiveness, and good operation reports are becoming more attractive than big IPO news.