Power and electronics equipment producer Zhonhen Electric has invested RMB200m ($28.3m) in China-based electric scooter battery-swapping service Ningde Zhixiang, 36Kr has reported.
Ningde Zhixiang operates a service that enables electric scooter owners to rent batteries for their vehicles. The charged batteries are available through a network of charging stations and riders pay for them through a mobile app.
The company was formed in June 2019 as a joint partnership between bicycle sharing service Hello Chuxing, battery manufacturer Contemporary Amperex Technology (CATL) and Alipay, a payment services subsidiary of e-commerce firm Alibaba’s Ant Financial affiliate.
The stakeholders combined to provide approximately $145m in funding for Ningde Zhixiang at the time of its launch. Hello Chuxing runs the business while CATL supplies the charging technology and Alipay handles user acquisition and marketing.
Zhonhen Electric provided the funding in connection with a strategic partnership agreement that will involve it collaborating with Ningde Zhixiang on research and development as the companies look to develop new smart products.
