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(Reuters) Autonomous trucking startup TuSimple is aiming to raise ~$1.3B in its US IPO, with an expected share price between $35-$39, and is targeting a valuation of $8B+

KentApril 9, 2023

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An early-stage startup, TuSimple has raised a total of ~$2M over the last three years. It’s looking to use these funds to scale up its autonomous driving technology to develop a fleet of trucks that can travel up to 2,000 miles on a single fuel tank. As an early-stage startup, getting investors excited about TuSimple’s prospects will be a challenge. But given that its market is already a $7B industry and that autonomous trucks can soon travel up to 2,000 miles on a single fuel tank, TuSimple’s prospects look very good.

What is Autonomous trucking startup TuSimple?

The idea behind TuSimple is simple: using a series of computers, TuSimple can automatically control semi trucks, making them autonomous. For this to happen, the trucks must have all the necessary software and hardware installed. So far, TuSimple has raised $2.8 million from investors, including Greycroft, Andreessen Horowitz, Lightspeed Venture Partners, and GV (formerly Google Ventures).TuSimple wants to take the trucking industry, one of the most regulated and slowest growing industries, and disrupt it. They want to build a fully autonomous vehicle that can travel up to 1,500 miles with no human intervention.

How Autonomous trucking startup TuSimple is aiming to raise ~$1.3B in its US IPO?

On Monday, TuSimple, a San Francisco-based autonomous truck startup, filed its IPO registration statement with the U.S. Securities and Exchange Commission (SEC), setting forth a price range for its initial public offering between $19.00 and $23.00 per share. TuSimple’s filing states it plans to raise $1.3 billion in its IPO. TuSimple is the latest of several new autonomous truck startups that plan to go public this year, including Otto, Waymo, and Zoox.

How Autonomous trucking startup TuSimple is expected share price between $35-$39, and is targeting a valuation of $8B+?

TuSimple is a logistics company, the leading provider of autonomous trucking services in North America. The company is aiming to raise a combined $1.3 billion in its initial public offering (IPO) this year, valuing the startup at between $35 to $39 per share, according to a research report from Cowen & Company. “The company is looking to raise the funds to expand its fleet and build its operations in the United States,” said the report. The company operates autonomous trucks in a test facility in Arizona and California and has plans to expand its fleet. The company also provides cloud-based software for truck operations that includes route optimization and driver scheduling, among other features.

Conclusion

TuSimple plans to use the new shares and proceeds to build out its autonomous trucking division and fleet. Its CEO, Chris Urmson, says the company plans to operate privately while building its infrastructure. The new shares could help TuSimple raise $1.3 billion at the current share price. At an estimated valuation of $8 billion, the startup has raised about $4.5 billion so far, according to Crunchbase. TuSimple has developed the world’s first fully-autonomous electric heavy-duty truck capable of travelling at highway speeds without the driver.

FAQs

1. What is the difference between TuSimple and other autonomous truck startups?

TuSimple is the first company to bring an automated truck to market. We have the most experience in this space. We have been working on this problem for the last ten years. We have been through the entire regulatory process. We have proven technology and a great team.

2. How do you plan on making money?

TuSimple will be profitable in the near term. We will make money through our revenue model based on a subscription model. We will also make money through an equity offering.