The electric vehicle producer received $73.1m from SAIC's parent company as it reportedly mulls an initial public offering that could value it at $4.3bn.
Shanghai Automotive Industry, the parent company of automotive manufacturer SAIC Motor, has invested RMB500m ($73.1m) in China-based electric carmaker WM Motor, according to Yicai Global, citing a report in The Paper.
WM Motor produces smart electric vehicles under the Weltmeister brand that include features such as autonomous driving systems and connected electronics systems. It also provides a mobile app called GETnGO that can arrange and pay for vehicle charging.
News of the investment comes after Bloomberg reported in July this year that WM Motor was considering the launch of an initial public offering on Shanghai Stock Exchange’s Star Market in which it would expect to achieve a $4.3bn offering at the close of the IPO.
The company had raised a total of $1.8bn from internet group Baidu and its Baidu Capital unit, quantitative trading firm Susquehanna International Group, Amiba, Chengwei Capital, Envision and Seven Seas Partners as of a $1bn round in 2016 featuring unnamed backers.
Internet group Tencent joined metals trader China Minmetals’ Wukuang Capital subsidiary as well as Sequoia Capital China and China Structural Reform Fund to invest an undisclosed sum in WM Motor the following year.
Baidu subsequently led the company’s $446m series C round in March 2019, investing together with Taihang Industrial Fund and Linear Venture.
