By Vinicy Chan and Lulu Yilun Chen
(Bloomberg) — Sequoia Capital-backed PlusAI Inc. is close to raising about $200 million in new funds at a valuation of more than $1 billion to bankroll its development in autonomous trucks, according to people familiar with the matter.
The self-driving truck startup is working with advisers on the funding round with plans to set up a joint venture with one of the country’s largest truck makers FAW Jiefang, a subsidiary of state-owned China FAW Group Co., the people said. Plus.AI is seeking external investors to lead this round of funding, in which existing backers Sequoia and Full Truck Alliance will participate, said one of the people, who asked not to be named because the discussions are private.
The Cupertino, CA-based startup will soon unveil trucks with partially automated driving features, or so-called level 2 autonomous vehicles, the person said.
Founded by a group of Stanford classmates in 2016, Plus.AI counts China’s largest truck-sharing platform — Full Truck Alliance Group — as its external shareholder. It’s set up research centers in Cupertino and Beijing, as it tests prototypes in eastern China’s Jiangsu province as well as California. The company joins a handful of startups trying to up-end a fragmented long-haul trucking business with driverless technology.
