SVOLT Files for IPO in China, Raising CNY 15 Bn for Power Battery Production

Automotive Author: Mu Li Editor: Ziying Wu Nov 22, 2022 11:19 AM (GMT+8)

SVOLT, a lithium-ion battery developer and producer, has filed to list on China's sci-tech innovation board, planning to raise CNY 15 billion.

Power battery

On Nov 18, SVOLT Energy Technology (Chinese: 蜂巢能源) has filed to list on China's sci-tech innovation board. The company plans to raise CNY 15 billion (USD 2 billion) through its issuance of 25% equity shares, targeting a valuation at CNY 60 billion.

As per the information revealed on the prospectus, SVOLT achieved an operating income of CNY 4.5 billion in 2021, way beyond its previous records of CNY 1.7 billion in 2020 and CNY 929 million in 2019, maintaining a robust CAGR of 119.42%.

Founded in 2018, SVOLT, a high-tech spin-off from Great Wall Motors (Chinese: 长城汽车), specializes in the R&D, production and sales of lithium-ion batteries for electric vehicles and energy storage systems. The funds raised will be used for the R&D of new technologies including Cobalt-free cathode materials, Cobalt-free batteries and more.

With an increasing penetration rate of new energy vehicles (NEV), subsequent demand for lithium batteries surges, giving rise to the high growth of SVOLT. SVOLT has thus been active in production capability expansion and customer acquisition. To date, SVOLT has built seven R&D centers in Japan, Korea, the US, India, Wuxi, Baoding and Shanghai, and has successfully secured clients such as Great Wall Motor, Geely Auto (Chinese: 吉利汽车), Leapmotor (Chinese: 零跑汽车), Dongfeng Motor (Chinese: 东风汽车), VOYAH (Chinese: 岚图汽车), Seres, and Hozon Auto (Chinese: 合众汽车).

In the future, SVOLT will continue to build production bases in China and Europe and establish a global R&D, service and production network, with an aim to serve global automakers and clients from energy storage better.