Chinese battery manufacturer CATL makes its first external investment in the skateboard chassis production sector, according to a recent report.
CATL's CAIT-SH Secures $280 Million in Funding
Contemporary Amperex Technology (Shanghai) Limited (CAIT-SH), a wholly-owned subsidiary of CATL, has recently raised RMB 2 billion ($280 million) in a financing round. The financing was not conducted in a fully public manner but through a targeted invitation.
The search results do not provide information about other external investors in CAIT-SH besides the Industrial Bank Trust subsidiary, which has secured a 9.99 percent stake in the company. Another large financial institution has also confirmed its participation in the investment, with a scale of RMB 200 million.
CAIT-SH provides battery-centric skateboard chassis-related products and technical services. The move is part of CATL's strategy to tap into new growth opportunities by increasing its investment in the skateboard chassis business.
CATL, the world's largest manufacturer of power batteries, holding a 38.1 percent market share in January-May, launched the Bedrock Chassis, the flagship variant of CIIC, in December 2024. The first automaker to adopt the Bedrock Chassis is Avatr Technology, a subsidiary of Changan Automobile.
JAC EV unit plans to build models based on CAIT-SH's skateboard chassis. However, the report by Yiou notes that CATL's power battery business growth has slowed, and further market share growth in the power battery market is becoming challenging for the company.
CATL requires that the investment amount be at least RMB 100 million yuan. The pre-investment valuation of CAIT-SH is approximately RMB 9 billion. It is worth noting that the external investors who have participated in the financing are large state-owned entities.
In November 2023, CATL introduced new investors for CAIT-SH, all of which are CATL-affiliated companies. The exchange rate is $1 = RMB 7.1683. These developments underscore CATL's commitment to strengthening its position in the battery and skateboard chassis market.
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