DOMESTIC electric vehicle (EV) maker Leapmotor is considering an initial public offering (IPO) in Hong Kong that could raise at least US$1 billion, according to people familiar with the matter. The startup, whose backers include video surveillance company Zhejiang Dahua Technology Co. and Sequoia Capital China, has held initial discussions with advisers about the IPO, the people said. A listing could come as soon as next year, they said. Details such as fundraising amount and timing are preliminary and subject to change, the people added. A representative for Leapmotor declined to comment on the potential IPO, while Dahua did not immediately reply to requests for comment. With a listing in Hong Kong, the Hangzhou-based company would join rivals Xpeng Inc. and Li Auto Inc. The pair raised a combined US$3.8 billion in dual primary listings over the summer. China’s EV startups are expected to benefit from the country’s push to reduce greenhouse gas emissions and go “carbon neutral” by 2060, making it one of the sectors that so far has not been hit by slew of regulatory actions in China. The year-long semiconductor shortage has not spared any carmaker globally, with Nio Inc. last month lowering its delivery outlook for the third quarter because of the continued uncertainty over chip supply. Leapmotor makes electric vehicles using chips or core technology that are designed in-house, according to its website. In September, it received 8,754 pre-orders, while it delivered 4,095 vehicles, a fivefold jump from the same period last year, according to a posting on the company’s WeChat account. In August, the firm announced a 4.5 billion yuan (US$697 million) investment round, of which 3 billion yuan was contributed by a unit of the Hangzhou city government. (SD-Agencies) | 