Horizon Robotics, a Chinese company specializing in autonomous-driving technology, saw its shares rise as trading began on the Hong Kong Stock Exchange.

Listed under the code 9660, the shares opened at HK$5.12, a 28% increase from their IPO price of HK$3.99.

By market close, Horizon’s stock settled at HK$4.10, marking a 2.8% increase amid a general decline in Hong Kong tech stocks.

The Hang Seng Tech Index fell by 2.6% that day. The company raised HK$5.4 billion (US$696 million) through the IPO, which stands as Hong Kong’s second-largest this year. This follows Midea Group’s US$4.6 billion offering last month.

Key investors such as units of Alibaba Group Holding, Baidu, and a French family office purchased US$220 million in shares. Baillie Gifford, a major existing investor, invested US$260 million.

Funds from the IPO are primarily allocated for research and development over the next five years. They will also support joint ventures, including Carizon with Volkswagen Group.