Shenzhen-based automation and robotics company Inovance Technology is preparing a Hong Kong listing that could raise up to $2 billion, in what would be one of the largest robotics-related capital raises of the year.
The company has reportedly selected a group of global and Chinese investment banks – including Bank of America, Morgan Stanley and China International Capital Corp – to lead the offering, according to people familiar with the matter. The listing plans are still under consideration and could change in size or timing.
If completed, the deal would underscore how robotics and industrial automation are becoming central to the next phase of global AI investment.
Capital Flows Into Physical AI
The planned listing comes as investors increasingly shift attention from software-based AI to systems that operate in the physical world.
Inovance, which is already publicly traded in Shenzhen, develops industrial automation equipment and robotics systems used in sectors such as packaging, plastics and steel production. Its technologies form part of the infrastructure that enables automated manufacturing.
The company’s potential Hong Kong listing reflects a broader trend: mainland Chinese firms are turning to international markets to raise capital for expansion, particularly in high-growth sectors like robotics.
Hong Kong has re-emerged as a key venue for such offerings. Listings by mainland companies accounted for a large share of the exchange’s proceeds in 2025, as companies sought to tap global investors while maintaining access to Asian markets.
For robotics firms, access to capital is especially critical. Unlike software startups, companies building physical systems must invest heavily in manufacturing, supply chains and hardware development.
Scaling Industrial Robotics
Inovance’s business sits at the intersection of traditional industrial automation and newer forms of embodied AI.
While much of the current attention in robotics is focused on humanoid systems, industrial robots remain the backbone of automation in sectors such as manufacturing and logistics.
These systems are evolving as AI capabilities are integrated into control systems, enabling machines to operate with greater flexibility and adapt to changing conditions.
China has made robotics a strategic priority as part of its broader push to strengthen high-tech manufacturing. Companies like Inovance play a key role in that effort by supplying the components and systems that underpin automated production lines.
At the same time, newer robotics companies – including humanoid developers – are emerging alongside established industrial players, creating a layered ecosystem of automation technologies.
A Competitive Global Landscape
The potential IPO also highlights intensifying global competition in robotics.
Chinese firms are scaling rapidly, supported by domestic demand and government-backed initiatives. At the same time, companies in the United States and Europe are investing heavily in next-generation robotics platforms, including humanoid systems.
Capital markets are becoming a battleground in this competition. Large funding rounds and public listings provide the resources needed to scale manufacturing, expand internationally and invest in research and development.
For investors, the appeal of robotics lies in its potential to reshape industries ranging from manufacturing to logistics and services. But the sector also carries risks, particularly given the capital-intensive nature of hardware development and the long timelines required to achieve profitability.
Inovance’s planned listing reflects both sides of that equation: strong demand for robotics-driven automation and the substantial investment required to deliver it at scale.
As the industry evolves, access to capital may prove as important as technological innovation in determining which companies emerge as global leaders in physical AI.