"The lidar giant" Hesai Technology's Hong Kong stock "debut" surges

The global leader in LiDAR technology, Hesai, has reached a high point on the Hong Kong Stock Exchange. On September 16, Hesai officially listed on the main board of the Hong Kong Stock Exchange, with a strong performance on its first day, seeing a maximum price increase of 15% to HKD 244. Currently, the stock price has slightly retreated to around a 12% increase. Hesai's IPO issuance price was HKD 212.80, raising a total of HKD 4.16 billion (approximately USD 535 million), attracting heavyweight cornerstone investors such as Hillhouse Capital and Grab Holdings. This marks Hesai as the first LiDAR company to achieve a dual primary listing on both the US and Hong Kong stock markets, and it is also the largest financing scale for a Chinese concept stock IPO returning to Hong Kong in nearly four years. The successful listing of Hesai injects new momentum into the ongoing wave of Chinese concept stocks returning to Hong Kong. Hesai's strong performance comes against the backdrop of increasing adoption of LiDAR technology by automotive manufacturers to enhance the performance of Advanced Driver Assistance Systems (ADAS). The market holds an optimistic outlook on the widespread application prospects of LiDAR technology in the automotive industry. Hesai's American Depositary Receipts (ADRs) have doubled in price this year, with the company reporting a 54% year-on-year revenue growth in the second quarter. Cost Reduction Plans to Solidify Leadership Position According to reports, Hesai plans to use the funds raised from this offering to help reduce the manufacturing costs of LiDAR systems. "Our past products were priced as high as USD 50,000," said CEO Li Yifan in a media interview. "With our proprietary technology and manufacturing capabilities, we are working to bring the cost down to USD 200." If this ambitious goal is achieved, it will greatly promote the adoption of LiDAR in the mainstream passenger vehicle market and further solidify Hesai's cost advantage and market share. In addition to the automotive sector, Li Yifan also stated that the company is looking to achieve a leading position in the robotics field. Hesai's rapid development is attributed to the wave of intelligence sweeping the global automotive industry. As a key sensor for achieving high-level autonomous driving and enhancing active safety performance, LiDAR is being increasingly adopted by automotive manufacturers. As of March 31, 2025, Hesai has secured the highest number of mass production designations in the ADAS market, covering 120 models from 22 global OEMs, with clients including Li Auto, ZEEKR, and Leapmotor. Founded in 2014, Hesai currently holds the number one position in several niche markets. According to data from Frost & Sullivan, the company has been the largest revenue-generating LiDAR supplier globally in 2022, 2023, and 2024. Strong market demand is also reflected in its performance, with Hesai's ADRs doubling in price this year, and second-quarter revenue growing by 54% year-on-year, surpassing the growth rate of the previous quarter