New energy vehicle and automotive ancillary service projects have attracted heavy venture capital (VC) investment into China over the past six months, bolstering valuations of some automotive start-ups into unicorn status, or a private company valued at over US$1 billion, according to a new KPMG report, says an article in South China Morning Post (SCMP).
Chinese tech giants – including ride hailing app unicorn Didi Chuxing, Baidu and Alibaba – have been active investors in autonomous vehicle companies as well as forging partnerships with original equipment manufacturers (OEM) to lead the country’s gradual evolution into the electric car market.
In September, Beijing municipal government issued licence plates to seven companies to test autonomous vehicle technology.
“Autotech continues to attract venture capital interest in China,” Philip Ng, head of technology of KPMG China wrote in the report, adding investors were also interested in battery power and charging infrastructure.
“And one of the most attractive areas of investment over the past two quarters has been new energy-powered vehicles.”
Follow the link to read more.