China’s Momenta Global gets approval for US IPO in autonomous driving push

China’s Momenta Global Limited, an autonomous driving startup, has received approval from China’s securities regulator for its initial public offering (IPO) in the United States. The company plans to issue up to 63,352,856 ordinary shares and list on either the Nasdaq Stock Market or the New York Stock Exchange, according to a statement from the regulator.

The approval comes as China has granted the green light to a first group of nine automakers to conduct tests on vehicles with advanced autonomous driving technologies on public roads. This move is part of a broader plan to speed up the adoption of self-driving cars in the country.

The auto industry categorizes autonomous driving into five levels, ranging from driver assistance features like cruise control at level one to fully self-driving cars at level five. China issued guidelines for a nationwide scheme last November, opening up the acceptance of applications from companies looking to deploy more fully autonomous driving vehicles for widespread use.

Under the plan, drivers in the test vehicles are permitted to take their hands off the steering wheels, with automakers and fleet operators assuming responsibility for safety.

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