Xpeng, the well-known electric vehicle (EV) maker, is contemplating the possibility of conducting an initial public offering (IPO) for its flying car division, Xpeng Aeroht. According to a report from Bloomberg, Xpeng has reached out to banks to present proposals for participating in the IPO, which could potentially take place in either Hong Kong or the United States. However, discussions are still ongoing, and there is a possibility that the IPO may occur in a different location or may not happen at all.
Xpeng Aeroht, which was established in 2020 as a majority-owned tech unit by Xpeng and its chairman and CEO He Xiaopeng, has been making significant strides in the development of flying cars. The company’s vision includes the production of eVTOL (Electric Vertical Takeoff and Landing) flying cars and modular flying cars. At a Tech Day event in October 2023, Xpeng outlined its plans for the future of Aeroht’s flying cars, including the introduction of a modular flying car that consists of a flying body and a parent vehicle for recharging.
The modular flying car is expected to be mass-produced and delivered by Xpeng Aeroht in 2026, with a price tag not exceeding RMB 2 million ($276,800). Last year, the company commenced construction of its Guangzhou flying car manufacturing base, with a projected annual capacity of 10,000 units. In August 2024, Xpeng Aeroht secured $150 million in series B1 funding, signaling its commitment to advancing its flying car technology.
Other key players in the flying car space include Ehang, a US-listed company that recently obtained a license for commercial operations. With the global interest in flying cars on the rise, Xpeng Aeroht’s innovative approach and strategic partnerships position it as a prominent player in the industry.
Overall, Xpeng’s potential IPO for Xpeng Aeroht reflects the company’s dedication to innovation and pushing the boundaries of transportation technology. As the flying car market continues to evolve, Xpeng remains at the forefront of this exciting frontier.
