Horizon Robotics (09660.HK) saw its stock soar by 5.18% in pre-market trading on Tuesday, following the announcement of a successful private placement. The company's strategic move to raise funds through share placement has evidently boosted investor confidence, driving the stock's significant upward movement.

According to the company's statement, Horizon Robotics has completed the placement of 681 million existing shares and a top-up subscription of new shares under a general mandate. The shares were placed to not less than six placees at a price of HK$6.93 per share, indicating strong interest from institutional investors. This successful fundraising effort is expected to provide the company with additional capital for expansion and development initiatives.

The timing of this placement is noteworthy, coming shortly after two significant milestones for Horizon Robotics. The company's lock-up period following its April 2025 listing recently expired, and in May 2025, it gained entry into both the Shenzhen-Hong Kong and Shanghai-Hong Kong Stock Connect programs. These factors, combined with the board's assessment of favorable market conditions and strong investor interest, likely contributed to the decision to proceed with the share placement at this time. The positive market reaction suggests that investors view this move as a strategic step towards fueling Horizon Robotics' future growth in the competitive robotics and AI sector.