Hozon Auto Completes Financing, Plans to Listing This 12 months

Chinese language media outlet LatePost reported on Monday that Hozon Auto has just lately finished a brand new spherical of financing of greater than 2 billion yuan ($316 million). The primary funding establishments integrated the CRRC Fund beneath route of CRRC Company Restricted and Shenzhen Capital Team Co., Ltd.

This spherical of financing is the 3rd one of Hozon Auto’s D spherical financing. In October final yr, Hozon Auto introduced the of entirety of the D1 spherical of financing value 4 billion yuan, of which Qihoo 360 led the funding with 2 billion yuan. In December, Hozon Auto disclosed the D + + spherical of financing involving CATL, Qihoo 360 and BAIC Capital, and others. In keeping with LatePost, the quantity of this spherical of financing is set 2 billion yuan.

After the of entirety of its Collection D financing, the valuation of Hozon Auto now exceeds 25 billion yuan. The EV corporate has now began the Pre-IPO spherical of financing with a goal valuation of about 45 billion yuan, and plans to begin its IPO in Hong Kong this yr. Hozon Auto informed LatePost that its intent to listing is matter to an reputable announcement of the corporate.

At this time, the costs of the NETA U Professional and NETA V, the primary fashions of Hozon Auto, get started at 109,800 yuan and 62,800 yuan with subsidies, respectively.

The variety of 100,000 yuan is changing into probably the most aggressive marketplace, as Li Auto‘s deliberate long term worth vary is 150,000 yuan and NIO additionally plans to unencumber lower-priced fashions via sub-brands. Some traders doubt whether or not Hozon Auto can handle robust gross sales on this marketplace setting.

Traders’ issues additionally come with that one of the vehicles bought by means of Hozon Auto could also be used for trade functions similar to on-line car-hailing as an alternative of personal use, which ultimately will have an effect on the efficiency of car manufacturers within the greatest personal automobile marketplace. In November final yr, Zhang Yong, CEO of Hozon Auto, disclosed that the automobiles immediately bought by means of the corporate to automobile condominium firms and different equivalent shoppers at the moment accounted for roughly 9% of general gross sales.

SEE ALSO: Hozon Auto to Release HK IPO in 2022

This January, Hozon Auto noticed robust gross sales, with a supply quantity of eleven,000 gadgets, surpassing NIO and score beneath XPeng and Li Auto. Its per month supply quantity has exceeded 10,000 for 3 consecutive months. At this time, Hozon Auto’s gross sales community covers 27 provinces and 148 towns. All the way through the Guangzhou Auto Display final November, Zhang Yong stated that the objective gross sales quantity of the corporate will likely be 70,000 in 2021 and double that quantity in 2022.