Black Sesame Technologies files for IPO in Hong Kong

Beijing (Gasgoo)- Black Sesame International Holding Limited, the corporate entity of Chinese automotive chip maker Black Sesame Technologies, has submitted its application for an initial public offering (IPO) to the Hong Kong Stock Exchange, as disclosed on June 30. 

Photo credit: Black Sesame Technologies

China International Capital Corporation (CICC) and Huatai International are appointed as joint sponsors for the IPO.

Founded in 2016, Black Sesame Technologies specializes in providing automotive-grade intelligent computing system-on-chips (SoCs) and solutions based on SoCs. It is one of the early pioneers in the field of autonomous driving chips.

In terms of annual revenue, Black Sesame Technologies generated 53.02 million yuan, 60.50 million yuan, and 165 million yuan in 2020, 2021, and 2022, respectively. However, the company’s corresponding operating losses reached 293 million yuan, 723 million yuan, and 1.053 billion yuan in the past three years. After adjustments, the net losses were reported as 273 million yuan, 614 million yuan, and 700 million yuan for each year.

Sales expenses for Black Sesame Technologies increased year by year from 2020 to 2022, reaching 22.26 million yuan, 50.84 million yuan, and 120 million yuan, respectively. R&D expenses accounted for the highest proportion of the company’s total annual costs, with expenditures reaching 764 million yuan in 2022.

According to the prospectus, as of the latest practicable date, Black Sesame Technologies has secured intentions of purchase for 15 vehicle models from 10 automakers and Tier1 suppliers. The company has also formed partnerships with over 30 automakers and Tier1 suppliers, including FAW Group, Dongfeng Motor, JAC Group, HYCAN, ECARX, Baidu, Bosch, ZF, and Marelli.