Chinese electric car start-up WM Motor files to go public in Hong Kong

Chinese electrical motor vehicle firm WM Motor, or Weltmeister, filed Wednesday to go public in…

Chinese electrical motor vehicle firm WM Motor, or Weltmeister, filed Wednesday to go public in Hong Kong. Pictured in this article is a person of the firm’s cars in a procuring shopping mall in Shanghai.

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BEIJING — Chinese electric vehicle begin-up WM Motor submitted Wednesday to go general public on the Hong Kong Stock Trade.

Also known as Weltmeister, the electric powered automobile corporation disclosed its once-a-year losses doubled over the last a few decades to 8.2 billion yuan ($1.2 billion), although revenue a lot more than doubled for the duration of that time, rising by about 170% to 4.7 billion yuan in 2021.

The general public model of the submitting did not include pricing information.

Though China’s electric powered car industry is the largest globally and a speedy-developing 1, automakers these types of as BYD and Tesla dominate gross sales. Chinese begin-ups these types of as Nio and Xpeng — both equally detailed in the U.S. and Hong Kong — have designed headlines, but continue to have a small portion of the sector.

WM Motor has marketed even fewer autos. The firm claimed in the submitting that as of Dec. 31, it has bought 83,495 electric automobiles since its initially product released in September 2018.

Xpeng released its initial model close to the exact same time, and said its cumulative deliveries reached 137,953 as of the close of December. Nio stated its cumulative deliveries totaled 167,070 as of the close of December, despite the fact that it released its very first auto about a yr prior to its get started-up rivals.

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WM Motor CEO Freeman Shen explained to CNBC in January he predicted desire for electrical cars in China this calendar year to approximately double from previous yr. He reported, even so, chip shortages and Covid-associated offer chain disruptions would boost expenditures for firms earning the cars and trucks.

WM Motor’s SUVs and sedans sell in a price tag assortment of about 160,800 yuan to 280,000 yuan, the filing showed. That’s very similar to Xpeng’s price variety.

The corporation reported in Wednesday’s filing its aggressive strengths include things like a emphasis on the mainstream current market, self-owned producing facilities and sturdy study and progress abilities.

As of the close of past yr, the submitting confirmed WM Motor spent 20.7% of profits on investigation and progress, though Xpeng documented it used 19.6% of revenue on this sort of analysis.

Nonetheless, Xpeng has far more than triple the headcount at 13,978 employees as opposed to WM Motor’s 3,952, filings showed for the end of past 12 months.

WM Motor stated it experienced 1,141 workers in investigate and growth, or 28.9% of a overall headcount. Producing staff accounted for the biggest share, at 54.1%.

For comparison, Xpeng claimed its product sales and internet marketing team accounted for the finest share of its personnel, at 45%. A full of 5,271 investigation and development workforce accounted for 38% of headcount.