Emerging Technology Insider
EV battery manufacturer, SVOLT Energy Technology closes on $538 million in less than five months
The Chinese EV battery company takes another firm step towards 2022 IPO.
SVOLT Energy Technology Co., Ltd. ("SVOLT"), a leading EV battery manufacturer, held a B Round Financing Transaction Ceremony in Changzhou, Jiangsu on July 28, 2021. Following the completion of A Round Financing of RMB 3.5 billion ($US 538 million) at the end of February this year, the company rapidly closed this third round of market-based equity funding, raising a total amount of RMB 10.28 billion ($US 1.58 billion) in less than five months.
This round of financing was led by Bank of China Group Investment (BOCGI), followed by the Sub-funds of National Fund for Technology Transfer and Commercialization, Country Garden Venture Capital, Shenzhen Capital Group(SCGC), CCB Investment, IDG Capital, Sany, Xiaomi Corporation, Oceanpine Capital, CHINA RENAISSANCE among others. Original shareholders, including SDIC and JZ Capital, significantly increased their holdings. In his speech at the signing ceremony, Yang Hongxin, the Chairman and CEO of SVOLT, said the subscription atmosphere for this round of funding was extremely enthusiastic.
SVOLT has secured 25 sales points from domestic and international mainstream automobile manufacturers, including Great Wall Motors, Geely Automobile, Dongfeng Motor, PSA, SF Motors, ENOVATE, Leap Motor and Hozon Auto. Over 10 models powered by SVOLT's battery system have been announced, including the new model ORA Cherry Cat powered by SVOLT's cobalt-free battery, and will soon be on the market in mass production. SVOLT has also won a large purchase order of 16 billion yuan from Stellantis (a Peugeot-Citroen Automobile and Fiat-Chrysler Automobiles merger), and successfully entered high-end markets in Europe and the US. The company has large orders and will urgently accelerate construction of new bases in Changzhou, Suining, Huzhou, Ma'anshan, Nanjing and Europe to rapidly expand production capacity. Round B funds will be mainly used for R&D of new technologies and construction of new factories. SVOLT's production capacity is expected to exceed 200GWh in 2025.
According to Mr. Yang, SVOLT has started to build a carbon footprint system spanning the whole life cycle of EV battery, which can meet sustainable development requirements, safety and use of recycled raw materials in the future. Additionally, SVOLT has already started the formulation of peaking carbon dioxide emissions and carbon neutrality targets and roadmaps, and will achieve these in operations and the whole industry chain mainly through energy efficiency improvements, self-built green power, green power procurement, green building, and recycled raw materials to offset carbon moving forward.
About SVOLT SVOLT is a high-tech enterprise in the global EV battery industry, with seven R&D centers in Japan, South Korea, the US, India, Wuxi, Baoding and Shanghai. Its unique high-speed stacking process, high-safety cobalt-free battery, long-life solid-state battery and automotive-standards AI intelligent manufacturing are at a global leading level. The company has applied for more than 2,400 patents, including 800 invention patents and 50 PCT international patents.