Sunwoda EVB reportedly raises 6 billion yuan in new funding round

Shanghai (Gasgoo)- Sunwoda Electric Vehicle Battery Co., Ltd. ("Sunwoda EVB"), the power battery arm of Sunwoda Electronic Co., Ltd. (“Sunwoda”), has closed a new financing round with 6 billion yuan ($885.688 million) raised, which was greatly beyond the previously expected 3 billion yuan ($442.844 million), according to a Chinese local media outlet.

It is reported that the latest funding round was led by several investors like Shenzhen Capital Group Co., Ltd. ("SCGC"). Notably, SCGC was also among the investors who took part in the strategic investment round Sunwoda EVB announced in February this year.

After being reached for a comment, people at Sunwoda said to local media channels to fact-check should be in accordance with the company's official announcement.

Photo credit: Sunwoda

In April, Sunwoda announced it earned around 2.933 billion yuan ($461.145 million) worth of annual revenue from its electric vehicle ("EV") battery business, representing a remarkable year-on-year surge of 584.67%.

According to Sunwoda's annual results, the EV battery unit accounted for 7.85% of the company's full-year revenue in 2021, 6.41 percentage points higher than that of the previous year. Its yearly gross margin rose 13.98 percentage points to -0.87% in 2021, which almost hit the break-even point.

Sunwoda EVB has so far formed partnerships with such automakers as Renault, Nissan, eGT, Geely Auto, Dongfeng Motor, GAC Group, SGMW, and SAIC Motor Passenger Vehicle. It has also built power battery manufacturing bases in cities like Huizhou, Nanjing, Nanchang, Zaozhuang, and Zhuhai. The battery maker is ambitious to hit an annual power battery production capacity of 200GWh by 2025.