CHJ Automotive Enters Financial Market With Fintech Subsidiary
Chinese electric maker CHJ founded its subsidiary fintech company, targeting financial business.
CHJ Automotive (车和家) founded its fintech subsidiary named CHJ Financial Technology Company on August 12 according to TianYanChan (天眼查), a market and business intelligence service provider.
CHJ Automotive’s founder and chief financial officer Li Tie (李铁) serves as the legal representative of the new company that has a registered capital of USD 2.85 million. The new company's permitted scope of operations spans venture investment, wealth management, consulting services and so on.
CHJ Automotive is a Beijing-based electric vehicle manufacturer that offers mobility services based on a few models of electric vehicles: It provides a small smart car for intra-city trips; and a large electric sport utility vehicle for long-haul inter-city journeys. It also operates car rental and ride-hailing services.
The EV maker has closed its Series C round of funding on June 28, raising USD 500 million. Proceeds from previous rounds of funding boosted the company's valuation to USD 2.9 billion.
Following in the footsteps of many traditional car makers such as Ford, BMW and Toyota, some Chinese auto startups have gradually launched vehicle-related financial services. For example, WM Motors (威马汽车) set up a car leasing company in July and Didi Chuxing announced the cooperation with Hyundai Insurance's China operation in the same month.
In light of past events, the new subsidiary formed under CHJ may also embark on a vehicle-related financial business in the future.