General Motors' autonomous vehicle unit is taking on new investors and gaining value as it works toward launching a self-driving taxi service by the end of the year.
GM Cruise on Tuesday announced a $1.15 billion equity infusion from a "group comprising institutional investors," including funds and accounts advised by Baltimore-based asset management company T. Rowe Price Associates Inc. It also includes funds from existing partners GM, SoftBank Vision Fund and Honda Motor Co.
The San Francisco-based company is not releasing specifics of the investment or amount of equity involved, a spokesman said.
"Developing and deploying self-driving vehicles at massive scale is the engineering challenge of our generation," Cruise CEO Dan Ammann said in a statement. "Having deep resources to draw on as we pursue our mission is a critical competitive advantage."
The investment increases Cruise's valuation to $19 billion, up from $14.6 billion in October, when Honda agreed to invest $2.75 billion for a 5.7 percent stake.
Cruise has grown from a startup with 40 employees when GM acquired it in 2016 to more than 1,000 today. The company has said it plans to double the size of its work force in 2019.
GM shares rose 1.1 percent to close Tuesday at $38.53 on an otherwise down day on Wall Street.