ECARX secures US$45.6m from Geely Holding

ECARX has announced a US$45.6m strategic investment from Geely Holding Group through a private placement of 27.3 million Class A ordinary shares at US$1.67 per share, with the mobility technology provider saying it will use the funds to accelerate global expansion of its vehicle hardware and software solutions. The Nasdaq-listed company said the investment will support the buildout of its research and development hub in Germany and infrastructure across South America and Southeast Asia.

The per-share price reflects the volume-weighted average price on Nasdaq for the 20 trading days preceding the 8 January agreement. The shares will be subject to a six-month lock-up period following closing, which is expected in the near future.

Daniel Donghui Li, Executive Vice Chairman of Geely Holding Group, said: “ECARX has established itself as a key technology partner in the global automotive industry, and this investment underscores Geely’s continued confidence in the company’s long-term vision and technological capabilities.”

Ziyu Shen, Chief Executive and Chairman of ECARX, added: “Following the two project wins from Volkswagen Group last year and our deepened strategic partnership with Lotus Tech, this investment will support the build out of our R&D hub in Germany and infrastructure across key growth markets in South America and Southeast Asia.”

ECARX develops computing platforms and software for connected vehicles, supplying automakers including brands within the Geely group.

Source: ECARX