SYDNEY - Chinese mainland's autonomous driving firm Horizon Robotics is aiming to raise up to $696 million in an initial public offering in the Hong Kong Special Administrative Region.

The company will sell 1.36 billion shares in a price range of HK$3.73 to HK$3.99 ($0.51) each, according to the company's filings.

If successful, the IPO will be the largest in the HKSAR in 2024, eclipsing China Resources Beverage which began book-building on Tuesday for its up to $650 million listing.

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Cornerstone investors have subscribed for $219.8 million of Horizon Robotics stock led by Alisoft China and Baidu, which have bid for $50 million each, the filings showed.

Horizon Robotics manufactures advanced driver assistance systems and autonomous driving solutions for passenger vehicles on the mainland. Volkswagen has a small stake in the company.

Horizon Robotics will set the final price for the IPO on Oct 21 and the shares will start trading on the Hong Kong Stock Exchange on Oct 24, the filings showed.

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The company said it would use 70 percent of the proceeds raised in the IPO on research and development spending over the next five years, while a further 10 percent would be spent on sales and marketing.