HONG KONG – Hesai Group, a developer of sensor technologies used in self-driving cars, has raised US$190 million (S$251.6 million) in an initial public offering (IPO), the largest by a Chinese issuer in the US market since the crash of Didi Global in 2021, according to people familiar with the matter.

The Shanghai-based start-up sold 10 million American depository receipts for US$19 each on Wednesday, said the people. The company had marketed nine million shares for US$17 to US$19 apiece. At the IPO price, the company has a market value of about US$2.4 billion.

Hesai’s listing marks a potential comeback of Chinese companies seeking to raise capital in the United States, joining two other firms that have already launched IPOs this year. Delisting risk for this group has eased significantly after Washington and Beijing made progress resolving an audit dispute, with market sentiment turning more bullish amid China’s reopening bets.

The US IPO market was nearly shut for China firms since Beijing forced Didi to delist shortly after its US$4.4 billion New York debut in 2021. Only 10 Chinese issuers went public in New York last year, raising a total of US$376 million, the smallest amount in a decade, according to data compiled by Bloomberg.

In contrast, this year has started on a high note, with two firms including Quantasing Group pricing new listings, while US$1.4 billion worth of additional share sales took place, led by iQiyi and Bilibili among others, data shows.

Hesai’s sales have grown steadily over the past three years to almost US$112 million, with its net loss shrinking to US$23 million for the nine months ended Sept 30, according to its filings with the US Securities and Exchange Commission. Domestic tech majors Baidu, Xiaomi and Meituan are among its strategic investors, as well as German engineering conglomerate Robert Bosch.

The shares are expected to begin trading on Thursday on the Nasdaq stock market under the symbol “HSAI”. BLOOMBERG