XPeng taps JPMorgan Chase, Morgan Stanley for flying car Hong Kong IPO

XPeng, the Chinese electric car manufacturer, has brought on JPMorgan Chase and Morgan Stanley to handle a public listing of Aridge, its flying car division, in Hong Kong, according to a Bloomberg report.

People familiar with the matter said the company has already submitted confidential paperwork for the Hong Kong offering, which could happen sometime in 2026. However, discussions are still taking place and the timing may shift.

Aridge expands production and unveils new model

The flying car division started out as XPeng Aeroht before getting its new name, Aridge, in October 2025. Company officials said the rebrand shows their goal of becoming a leader in developing products for low-altitude flight.

The division has both XPeng and its chief executive He Xiaopeng as owners. Last year, banks were asked to present their proposals for handling a possible public offering in either Hong Kong or the United States.

Aridge operates a 120,000-square-meter production facility in Guangzhou, China, where it has set up assembly line operations. The company plans to start delivering vehicles this year.

The division brought in $250 million through Series B funding in July 2025. At an AI Day event held in November 2025, XPeng showcased the A868, a new Aridge model. The vehicle runs on a hybrid system and can travel more than 500 kilometers on a single charge. It is designed for carrying multiple passengers on longer trips.

XPeng is working to expand its business by adding more hybrid vehicle options and improving its self-driving technology. Money earned from selling regular cars will help fund these newer technology projects.

Analysts see upside potential in stock

Wall Street analysts who track XPeng stock have given it a Moderate Buy rating overall. Four analysts recommend buying the stock, one says to hold it, and one suggests selling. The average price target sits at $29.67, suggesting the stock could rise 48.2% from where it trades now. Over the last year, XPeng shares have jumped 65%.

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