China-based electric vehicle (EV) producer Xiaopeng Motors is raising at least $300m from investors including e-commerce firm Alibaba to increase its series C-plus round to $800m, CNBC reported on Friday.
Alibaba confirmed its involvement to CNBC, and sources also identified Qatar’s sovereign wealth fund, Qatar Investment Authority, as an investor. Xiaopeng may raise an amount greater than $300m in the extension, as a number of investors are reportedly still in discussions about joining the round.
Aspex Management, Coatue Management, Hillhouse Capital and Sequoia Capital China had supplied $500m for the first close of the series C-plus tranche two weeks ago. CNBC’s sources said it had confidentially filed for an initial public offering in the US but is yet to select a stock exchange.
Founded in 2014 and also known as Xpeng, Xiaopeng Motors sells smart EVs equipped with artificial intelligence and autonomous driving functionality. It has sold close to 20,000 models of its compact sports utility vehicle, G3, according to Reuters.
The new funding has been allocated to the research and development of intelligent vehicle technology, according to Reuters.
Xiaopeng had previously raised $400m in a December 2019 series C round featuring consumer electronics producer Xiaomi, company chairman and chief executive He Xiaopeng, and unnamed new and existing investors.
He Xiaopeng, Primavera Capital Group and Morningside Venture Capital co-led a $585m series B-plus round for the company in mid-2018 that included Hillhouse Capital, Eastern Bell Venture Capital and K11 Investment.
Alibaba had joined contract manufacturer Foxconn and IDG Capital to co-lead Xiaopeng’s $348m series B round earlier the same year, with contributions from Morningside Venture Capital, Yunfeng Capital, China International Capital Corporation, GGV Capital, Matrix Partners and Yuri Milner.
Xiaopeng had secured $324m in a 2017 round led by ride hailing service UCarthat followed a reported $40m in series A funding. Its shareholders also include Shunwei Capital, Everbright Zhongying Capital, Kinzon Capital and Lightspeed Venture Partners.
Image courtesy of Xiaopeng Motors.
