WERIDE-W (00800.HK) shares surged more than 15% on June 16 after a Chinese news report said the company plans to spin off its Robovan autonomous driving unit for independent financing at a $400 million valuation. An internal source at the company said there is no information to share.
WERIDE-W (00800.HK) shares surged more than 15% on June 16 after a Chinese news report said the company plans to spin off its Robovan autonomous driving unit for independent financing at a $400 million valuation. An internal source at the company said there is no information to share.
WERIDE-W (00800.HK) jumped as much as 20% to HKD 19.99 after a report it plans to spin off its Robovan unit at a $400 million valuation.
"There is currently no information to share," an internal source at the company said, responding to the report.
The stock last traded at HKD 19.17, up 15.4%, with 2.5 million shares changing hands worth HKD 47.1 million. Short selling data as of June 15 showed $3.05 million in short interest, a 20.8% short ratio. The intraday high of HKD 19.99 represented a 20.3% gain from the previous close.
The spin-off, if confirmed, could unlock shareholder value by separating the autonomous driving business from the parent company and attracting specialized investors. WERIDE-W's Robovan recently obtained a road testing license in Guangzhou and has commenced road testing.
The development comes as China's autonomous driving sector accelerates, with HSBC Research recently naming WERIDE-W among its preferred plays alongside Horizon Robotics (09660.HK), XPeng (09868.HK) and Pony AI (02026.HK). The $400 million valuation for the Robovan unit suggests significant upside potential for the parent company's market capitalization, though the lack of official confirmation introduces uncertainty for investors.
WERIDE-W, which focuses on autonomous driving technology, has been expanding its presence in China's autonomous vehicle market. The Robovan unit, which develops autonomous commercial vehicles, represents a key growth driver for the company. A successful spin-off would allow the unit to raise capital independently and pursue its own strategic partnerships, potentially accelerating its commercialization timeline.
This article is for informational purposes only and does not constitute investment advice.
