As volatility and rising interest rates seem to be quelling consumer interest in new stocks, one automated driving company is set to go public — and at a much lower price than it had planned.
Intel-owned Mobileye is aiming for a $16 billion valuation in its initial public offering (IPO), which is less than one-third of the company’s original estimates, as reported by Reuters.
Mobileye plans to offer 41 million common stock shares ranging from $18 to $20 in price for each share. The company hopes to raise $820 million, which would land within the top part of its proposed range for the stock market listing.
Intel-Owned Mobileye Unveils EyeQ Ultra Autonomous Driving Chip https://t.co/l1oImkyS3U
— TeslaNorth.com (@RealTeslaNorth) January 5, 2022
Still, Mobileye is widely considered one of the most significant tech listings of the year, and Reuters reported in April that the stock could hold a valuation up to $50 for the company.
“The IPO market has been dead, and to revive it, you need a Facebook, Uber, or DraftKings moment to bring others back to the market,” said Manhattan Venture Partners managing partner Jared Carmel. “Most companies don’t have the grit needed to blaze a trail with all this public market volatility.”
Mobileye announced that its autonomous shuttles will come to the U.S. in 2024, with as many as 35,000 to hit the market by 2028.
