The Kyoto University spinout has been valued at $114.7m in a cash-and-shares deal that gives University of Tokyo Edge Capital a partial exit.

Green Lord Motors (GLM), a Japan-based electric car manufacturer and Kyoto University spinout, has agreed to be acquired by diversified luxuries trader O Luxe for HK$896m ($114.7m), Nikkei reported today.

The cash-and-shares deal gives a partial exit to University of Tokyo Edge Capital (Utec), a commercialisation arm of University of Tokyo, which first invested in GLM in 2015, while also maintaining its exposure through O Luxe stock.

Founded in 2010, GLM manufacturers high-performance electric cars such as the Tommykaira ZZ EV, which launched at a retail price of ¥8m in 2014. A next-generation model, GLM-G4, is set to enter production in 2019.

O Luxe regards GLM as a path into Japan’s electric car market, which is supported by government initiatives such as tax breaks for vehicles and comprehensive coverage by charging points.

Utec had backed a $14m series B round in 2015 that also featured Golden Asia Fund II, a VC fund run by R&D vehicle Industrial Technology Research Institute and automotive manufacturer Mitsubishi Motors, and Riyadh Valley Capital, according to deals database PitchBook.

An earlier $3.5m series A round in 2013 included VC firm Globis Capital and undisclosed investors.

Hiroyasu Koma, chief executive of GLM, said: “Electric vehicles are catching on, and China is the leader. But Japanese technology will maintain an edge for the next five years and we want to take a share of the market.”