AgiBot Set to Launch Hong Kong IPO Aiming for $5 Billion Valuation

AgiBot's IPO Plans and Market Context

By Julie Zhu and Liam Mo

Company Background and Founders

HONG KONG/BEIJING (Reuters) -Chinese humanoid robot maker AgiBot plans to launch an initial public offering in Hong Kong next year, eyeing a valuation of HK$40 billion to HK$50 billion ($5.14 billion to $6.4 billion), sources with knowledge of the matter said.

Investment and Partnerships

AgiBot's listing plans, backed by investors such as Tencent and HongShan Capital Group (HSG), comes as Beijing steps up efforts to develop automation to address its aging population and bolster its position in robotics amid escalating technological competition with the United States.

Market Trends in Robotics and IPOs

The Shanghai-based company appointed China International Capital Corp Ltd (CICC) and CITIC Securities earlier this year to lead its Hong Kong listing, the sources said. Morgan Stanley has joined the effort in recent weeks, two of the sources added.

According to PitchBook, it reached a valuation of $2.07 billion as of March.

The company is expected to issue 15%-25% of its shares, one of the sources said.

AgiBot plans to file a preliminary prospectus early next year, two of the sources said, with one adding that the firm aims for a public listing by the third quarter of 2026.

Details of the IPO, including its timeline, offering size and valuation are subject to change, the sources cautioned, declining to be identified as the plan is not public yet.

Reuters is reporting for the first time AgiBot's listing plans, the valuation target and appointed banks.

AgiBot and Morgan Stanley declined to comment. CICC and CITIC did not respond to emailed queries from Reuters.

Hong Kong Exchanges and Clearing Ltd (HKEX), the city's exchange operator, declined to comment on individual companies or their transactions.

ROBOTS IN VOGUE

Founded in 2023 by former Huawei employees Deng Taihua and Peng Zhihui, Agibot gained prominence after Chinese President Xi Jinping inspected the company's robots during a visit to Shanghai earlier this year.

The company produces humanoid robot series called Yuanzheng and Lingxi, as well as data collection tools used for model training, which it also sells externally.

The company aims to deploy its humanoid robots across various sectors including manufacturing and logistics. At its data collection site in Shanghai, the company trains its robots to carry out tasks such as folding clothes, making coffee and washing toilets.

In August, Agibot announced a partnership worth tens of millions of yuan with automotive parts maker Fulin Precision Engineering to deploy nearly 100 Yuanzheng robots at Fulin's factories.

In the same month, the company also completed a strategic financing round with investors including LG Electronics and Mirae Asset. Chinese automaker BYD and asset manager Hillhouse Investment are also among its investors, according to corporate database Qichacha.

The plan would make Agibot one of a handful of humanoid robot companies seeking to tap the capital markets, as the sector attracts dozens of new Chinese startups as well as large established firms such as home appliance maker Dreame Technology and smartphone seller Xiaomi.

AgiBot's IPO would follow Ubtech Robotics, the first humanoid robot company to list in Hong Kong in late 2023. Ubtech's shares have surged 150% this year, outperforming the Hang Seng Index, which has risen 32%.

Rival Unitree Robotics is targeting a valuation of up to 50 billion yuan ($7 billion) for its planned IPO on Shanghai's STAR board, Reuters reported last month.

Hong Kong, fuelled by an influx of Chinese companies, has emerged as the leading global bourse by volume of IPOs and second listings combined this year, surpassing the New York Stock Exchange, according to data from LSEG.

More than 270 companies have filed publicly for initial or second listings in the city as of Friday, according to the Hong Kong Exchange.

Total funds raised from such offerings, predominately by Chinese companies, have reached nearly $24 billion so far this year, exceeding $11.3 billion in all of 2024, LSEG data showed.

($1 = 7.7808 Hong Kong dollars)

(Reporting by Julie Zhu and Liam Mo; Editing by Brenda Goh and Jacqueline Wong)