(Yicai Global) June 1 -- WM Motor Holdings is set to become the fifth Chinese electric vehicle startup to go public in Hong Kong.

WM Motor has applied for an initial public offering on the Hong Kong Stock Exchange, according to a bourse filing today. The Shanghai-based carmaker did not say how much it plans to raise, but it could be about USD1 billion, Bloomberg News reported, citing people familiar with the matter. 

Three of WM Motor’s compatriot EV startups -- Xpeng Motors, Nio, and Li Auto -- have already debuted in Hong Kong, while Leapmotor filed for a share sale in March and is being vetted.

Founded in 2015 and backed by Chinese internet giant Baidu, WM Motor has delivered 83,495 cars since mass production of its first model began in September 2018, the filing showed. Deliveries surged 96 percent to just over 44,150 last year from 2020. Over the past four years, sales have grown at a more than 100 percent compound annual rate.

WM Motor ranked fifth by sales among domestic EV startup last year. Xpeng, Nio and Li Auto each sold more than 90,000 vehicles, while Hozon Auto sold 69,674.

The carmaker has two manufacturing bases: one in China’s eastern Zhejiang province and the other in central Henan province. Together they can produce 250,000 vehicles a year, according to the filing.

WM Motor had a CNY1.9 billion (USD284.4 million) net loss last year on a 78 percent surge in revenue to CNY4.7 billion. Its cash and cash equivalent totaled CNY3.7 billion at the end of March this year.

The company was founded by Shen Hui, former global senior vice president and chairman at Volvo Car Group China. Beijing-based Baidu invested in the firm through a number of fundraisers. The pair have co-developed autonomous during technologies. 

Shen and his wife own 30.8 percent of WM Motor, while property developer Agile Group Holdings and Baidu have stakes of 6.5 percent and nearly 6 percent, respectively.

The share sale could go ahead before the end of this year, Bloomberg said. Haitong International Capital, CMB International Capital, and BOCI Asia are the IPO’s joint sponsors.

Editor: Futura Costaglione