CATL initiates external funding for its skateboard chassis division, news indicates
CATL Raises $280 Million for Skateboard Chassis Business
Contemporary Amperex Technology Co. Limited (CATL) has made a significant move into the skateboard chassis business, aiming to tap into new growth opportunities in this sector. The company launched its first external financing round for its subsidiary, CAIT-SH, which specialises in battery-centric skateboard chassis-related products and technical services.
CAIT-SH, a wholly-owned subsidiary of CATL, successfully secured RMB 2 billion ($280 million) in financing. The investment was not conducted in a fully public manner, but through a targeted invitation. Large state-owned entities are the external investors who have already participated in the financing.
One of the investors, a subsidiary of Industrial Bank Trust, secured a 9.99% stake in CAIT-SH, while another large financial institution has also confirmed its participation with a scale of RMB 200 million.
CATL introduced new investors for CAIT-SH in November 2023, all of which are CATL-affiliated companies. The funding will enable CATL to enhance its electrification solutions, expand production capacity, and advance its development of high-safety chassis products like the “Rock Solid Chassis.”
The company's strategy in the skateboard chassis business focuses on deepening strategic cooperation with multiple automakers, expanding capacity, accelerating technology iteration, and securing external financing to support this growth. CATL has already locked in large orders through partnerships with mainstream brands such as Avatr, JAC Group, BAIC New Energy, and Changan Mazda.
The first automaker to adopt the Bedrock Chassis, the flagship variant of CIIC, was Avatr Technology, a subsidiary of Changan Automobile. JAC EV unit also plans to build models based on CATL's skateboard chassis.
CATL currently holds a 38.1 percent market share in the power battery market, according to SNE Research. The company's power battery business growth has slowed, leading the company to increase its investment in the skateboard chassis business.
The exchange rate is $1 = RMB 7.1683.
[1] CATL's Skateboard Chassis Subsidiary Successfully Completes First External Financing Round [2] CATL's Skateboard Chassis Subsidiary Raises $280 Million in Funding [3] CATL Positions Itself as a Key Player in Skateboard Chassis Sector [4] CATL's Skateboard Chassis Subsidiary Valued Nearly $1.26 Billion
[1] To further its presence in the skateboard chassis sector, CATL's wholly-owned subsidiary, CAIT-SH, successfully completes its first external financing round, securing $280 million in investment. [2] The strategic move marks an important step for CATL's skateboard chassis business as they aim to expand production capacity and iterate technology. [3] With this investment, CATL positions itself as a key player in the skateboard chassis market, securing partnerships with major automakers and commercializing products such as the "Rock Solid Chassis" and the flagship Bedrock Chassis. [4] Valued near $1.26 billion, the funding is anticipated to propel the growth of CATL's skateboard chassis subsidiary and enhance its electrification solutions, setting the stage for future technological advancements in the market.
