Changan Automobile plans to set up a battery joint venture with Ningde Times to increase the field of new energy.
Thank you, Mr. Air, a netizen of CTOnews.com, for your clue delivery! CTOnews.com February 18 news, Changan Automobile announced that it intends to jointly fund the establishment of a battery joint venture with Chongqing Changan New Energy and Ningde Times, which was unanimously approved by the board of directors. Of course, this transaction still needs to be approved by the State Anti-monopoly Bureau.
According to the announcement, the registered capital of the joint venture is 1.5 billion yuan, of which Changan Motor contributed 285 million yuan, with a shareholding ratio of 19%; Changan New Energy contributed 450 million yuan, with a shareholding ratio of 30%; and Ningde Times contributed 765 million yuan, with a shareholding ratio of 51%.
In fact, before the establishment of the joint venture, Changan Automobile had already worked with Ningde Times on vehicles and batteries many times before. For example, the two sides signed a "Strategic Cooperation Agreement" in 2016 to launch EV and PHEV projects.
In addition, Changan New Energy vehicle Technology Co., Ltd., jointly established by Changan Automobile and Lulai Automobile, changed its name to Avita Technology (Chongqing) Co., Ltd in May 2021. The company held 39.02% of Avita Technology's shares (later increased to 40.99%) after the capital increase was completed in March last year, while Ningde Times held 23.99% (later diluted to 17.1%).
According to KuaiBao, Changan Automobile's January production and sales, Changan Automobile sold 171805 vehicles in January, down 38 per cent from the same month last year. Overseas sales of its own brands, passenger cars and brands have all declined, but its own brand new energy vehicles sold 28031 units in January, up 106 per cent from a year earlier.
Changan Automobile said in November last year that Changan New Energy mainly focuses on the industrial layout in the areas of battery, electric drive and electric control, and will achieve an annual production capacity of about 700000 sets of battery system in 2025. Changan Automobile also said that it will unite the upstream and downstream partners of the industrial chain to open up the battery industry chain from upstream raw materials to mid-stream power battery manufacturing to downstream power battery recovery, echelon utilization and recycling to establish a green battery ecology with clear responsibility and green environmental protection.
