China Passenger Car Association expects NEVs sales to reach 5.5 million this year.
Domestic Chip maker Grecon closed the Series Pre-A financing round with receiving tens of millions of CNY from a consortium led by Sunic Capital, followed by Greatease Capital and the previous investor Jingkai Tongchuang (Chinese: 经开同创).
The proceeds will be used to research and develop automotive power semiconductors (modules that have better efficiency in switching electrical power and are viewed to increase the driving range of electric cars) and expand the production line.
Founded in May 2018 by a cohort of veterans with working experience in Infineon and onsemi, Grecon headquarters in Jiashan, Zhejiang, and has set up branches in Shanghai, Suzhou, Tianjin, Chongqing and Shenzhen, as well as overseas research and development centers in Germany and South Africa. The company designs and produces automotive power processors and analog integrated circuits. It supplies chips to local automakers, including NETA Auto, Chery Auto and JAC Motors.
Semiconductor investing expert Sunic Capital's Xing Leqing believed the company's founder Peng Hao and his team have affluent working experience in the power chip sector, and they are China's first experts to enter the field. They have led projects consisting of R&D to mass production process and witnessed the entire development of the industry. Based on this, Grecon has a profound understanding of new energy vehicle power devices, especially the insulated-gate bipolar transistor (IGBT) module. Therefore, the company can accurately grasp the needs and pain points of OEMs and has made products that refresh everyone's minds, which were successfully introduced to a number of car companies.