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SHANGHAI - Pony AI Inc. (NASDAQ:PONY), a company focusing on the commercialization of autonomous mobility and showing strong momentum with a 20% gain last week, announced today that its co-founders have agreed to a voluntary extension of their share lock-up period. According to InvestingPro data, the stock has surged nearly 50% over the past six months, reflecting growing investor confidence. Dr. Jun Peng, Chairman of the Board, Co-founder, and CEO, and Dr. Tiancheng Lou, Co-founder and CTO, will not sell their shares for an additional 540 days after the initial public offering lock-up expires on May 25, 2025.
The extended lock-up agreements encompass 110,828 Class A ordinary shares and 81,088,770 Class B ordinary shares, which constitutes approximately 22.9% of the company’s total issued and outstanding ordinary shares. This move is intended to showcase the founders’ confidence in the company’s growth strategy and its ongoing efforts to scale up Robotaxi production and deployment. The company maintains a strong financial position with a healthy current ratio of 11.77 and more cash than debt on its balance sheet.
Dr. James Peng expressed the co-founders’ belief that this commitment would bolster long-term shareholder confidence and contribute to the sustainable value creation of the company. Pony AI, established in 2016, aims to develop a commercially viable and sustainable business model for autonomous vehicles, leveraging its vehicle-agnostic Virtual Driver technology.
The company has expanded its global presence, operating across China, Europe, East Asia, the Middle East, and other regions. It is focused on ensuring widespread accessibility to its proprietary software, hardware, and autonomous driving services. While the company currently trades at a premium valuation with a Price-to-Book ratio of 6.71, InvestingPro subscribers can access 10+ additional key metrics and insights to better evaluate the investment opportunity.
The press release also contained forward-looking statements regarding the company’s future plans and expectations. These statements are subject to inherent risks and uncertainties, and Pony AI does not commit to updating any forward-looking statement as per the U.S. Private Securities Litigation Reform Act of 1995.
This announcement is based on a press release statement from Pony AI Inc. and provides insight into the company’s leadership decisions and confidence in its strategic direction.
In other recent news, Pony AI is nearing profitability as it significantly reduces production costs for its robotaxis, according to the company’s Chief Technology Officer. The company has managed to cut the bill-of-materials costs for its robotaxis to approximately $41,165, down from $137,217, thanks to software optimization efforts. At the Shanghai Auto Show, Pony AI unveiled three new robotaxis developed in partnership with Toyota, BAIC Motor, and Guangzhou Automobile Group. Additionally, Pony AI announced a strategic partnership with Tencent Cloud to enhance its autonomous driving technology and expand its Robotaxi services. This collaboration aims to integrate Pony AI’s offerings into Tencent’s platforms, potentially increasing the user base and improving the user experience. The company also revealed its seventh-generation robotaxi lineup, which is set to be mass-produced starting mid-2025. Analysts from Nomura noted the cost reductions, and Argus’ Randall Schut commented on the company’s momentum. Pony AI’s advancements, including a 100% automotive-grade ADK and a 70% reduction in BOM costs, are expected to improve stability and safety for passengers while maintaining scalability.
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