Guangzhou-headquartered drone maker EHang is planning an initial public offering in the United States this year, Reuters reported Tuesday, citing two people with direct knowledge of the matter.
One individual said the company could raise US$400 to US$500 million, though the other said the deal will unlikely reach that upper estimate. Morgan Stanley and Credit Suisse are reportedly working on the offering.
Ehang shocked the drone industry in 2016 when it unveiled a self-piloting, electric passenger-carrying drone, which the company hoped to package as a vehicle for luxury rides. Experts doubt whether it can be scaled up into a full-blown aerial taxi service.