Chinese electric car start-up WM Motor files to go public in Hong Kong

Chinese electrical auto enterprise WM Motor, or Weltmeister, submitted Wednesday to go general public in Hong Kong. Pictured below is a single of the firm’s cars and trucks in a browsing mall in Shanghai.

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BEIJING — Chinese electric car or truck start out-up WM Motor submitted Wednesday to go community on the Hong Kong Stock Exchange.

Also regarded as Weltmeister, the electric auto organization disclosed its once-a-year losses doubled in excess of the last three many years to 8.2 billion yuan ($1.2 billion), though revenue extra than doubled for the duration of that time, rising by about 170% to 4.7 billion yuan in 2021.

The community edition of the submitting did not involve pricing details.

Whilst China’s electric powered automobile market is the premier globally and a rapidly-growing just one, automakers such as BYD and Tesla dominate revenue. Chinese start out-ups these kinds of as Nio and Xpeng — equally listed in the U.S. and Hong Kong — have made headlines, but nonetheless have a smaller part of the industry.

WM Motor has marketed even fewer cars. The company claimed in the filing that as of Dec. 31, it has offered 83,495 electric powered vehicles considering that its very first design launched in September 2018.

Xpeng launched its first product close to the same time, and reported its cumulative deliveries arrived at 137,953 as of the stop of December. Nio claimed its cumulative deliveries totaled 167,070 as of the end of December, though it introduced its initially auto about a calendar year before its start-up rivals.

WM Motor CEO Freeman Shen told CNBC in January he expected demand for electric powered automobiles in China this calendar year to just about double from past yr. He claimed, nonetheless, chip shortages and Covid-linked provide chain disruptions would increase fees for corporations building the cars.

WM Motor’s SUVs and sedans sell in a price tag selection of about 160,800 yuan to 280,000 yuan, the submitting showed. That is comparable to Xpeng’s price tag array.

The enterprise reported in Wednesday’s submitting its aggressive positive aspects involve a concentrate on the mainstream industry, self-owned production services and powerful analysis and development abilities.

As of the conclude of past 12 months, the filing showed WM Motor invested 20.7% of earnings on analysis and progress, though Xpeng described it expended 19.6% of earnings on such study.

Study additional about electric powered cars from CNBC Pro

Nevertheless, Xpeng has additional than triple the headcount at 13,978 employees compared to WM Motor’s 3,952, filings confirmed for the conclude of past yr.

WM Motor said it had 1,141 personnel in analysis and development, or 28.9% of a overall headcount. Production employees accounted for the best share, at 54.1%.

For comparison, Xpeng claimed its product sales and marketing and advertising team accounted for the best share of its workforce, at 45%. A complete of 5,271 analysis and development staff members accounted for 38% of headcount.