Xpeng Motors Announces US$400 Million Series C Capital Funding
GUANGZHOU, China--(BUSINESS WIRE)--Nov 12, 2019--
Xpeng Motors today announced the signing of its Series C capital funding of US$400 million from a group of strategic and institutional investors, bringing together an unparalleled combination of corporate and individual investors, as well as renowned private equity firms. The company announced that Xiaomi Corporation, a global leader in the technology and consumer electronics sector, will join as a strategy investor.
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“The signing of the new fundraising, which not only attracted new strategic investors such as Xiaomi Corporation but also received strong support from many of our current shareholders, is a renewed endorsement of our long-term strategy, execution capability and prudent business model,” said Mr. He Xiaopeng, Chairman and CEO of Xpeng Motors, who also participated in the Series C round.
Mr. Lei Jun, CEO of Xiaomi Corporation, commented on the strategic investment that: “Xiaomi Corporation and Xpeng Motors have achieved significant progress through in-depth collaboration in developing technologies connecting smart phones and smart cars. We believe that this strategic investment will further deepen our partnership with Xpeng in advancing innovation for intelligent hardware and the Internet of Things.”
“We are a strong believer that smart mobility and autonomous driving are going to transform our daily lives, and we share the same vision with Xiaomi that technology innovation is the key driver in reshaping our future transportation. Xiaomi’s experience and insight in consumer behavior, technology knowhow and market trends can add tremendous value to what Xpeng Motors is set to achieve,” said Mr. He Xiaopeng.
“2019 has been an eventful year dominated by economic headwinds, uncertainties in the global markets and government policy changes that have had direct impact on overall auto sales in China. However, we were able to attain most of our business and financing targets, despite the difficult circumstances. We have demonstrated to our shareholders our ability to sustain our business in the face of these challenging conditions,” added Mr. Brian Gu, Vice Chairman and President of Xpeng Motors.
In addition to the latest equity raising, Xpeng Motors has also successfully diversified its funding sources by securing several billions of RMB-denominated unsecured credit lines from leading Chinese and international banks including China Merchants Bank, China CITIC Bank and HSBC, a powerful testament to the company’s solid business model and its long-term growth prospects.
Xpeng Motors achieved numerous milestones this year. The company premiered its 2 nd production model, the P7 sedan in April, rolled out the 10,000 th unit of its first production model the G3 2019 smart SUV in June, and in July it released the enhanced version, the G3 2020 with a 520km NEDC driving range. Also in July, the G3 obtained the highest total score of 92.2% among electric vehicles in the latest China New Car Assessment Program (C-NCAP) safety test.
The company plans to launch the P7 sedan in the spring 2020 and will start delivery in 2Q 2020.
“We are committed to investing in the development of core in-house technologies, smart manufacturing, and sales and service capabilities. With the strong support from our shareholders, customers and business partners, we are very confident that we can surmount the challenging environment and achieve our long-term goals,” Mr. He concluded.
About Xpeng Motors
Xpeng Motors is a leading Chinese electric vehicle company that designs and manufactures automobiles that are seamlessly integrated with the Internet and utilize the latest advances in artificial intelligence. The company’s initial backers include its Chairman He Xiaopeng, the founder of UCWeb Inc. and a former Alibaba executive. Xpeng was co-founded in 2014 by Henry Xia and He Tao, former senior executives at Guangzhou Auto with expertise in innovative automotive technology and R&D. It has received funding from prominent Chinese and international investors including Alibaba Group and IDG Capital. The company launched its first production model, the G3 SUV, in Dec 2018. Xpeng’s 2nd production model, the P7 four-door electric sedan, premiered at the Auto Shanghai show in April 2019, and will be delivered to Chinese customers in Q2 2020. The company is building its fully-owned intelligent factory in Zhaoqing, Guangdong Province. Xpeng Motors is headquartered in Guangzhou, China. For more information, please visit the official website at: https://en.xiaopeng.com/
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PUB: 11/12/2019 08:00 PM/DISC: 11/12/2019 08:01 PM