BYD and Daimler each increased their capital to Denza by 1 billion yuan, the equity became 9:1, and 3 new cars were pushed in two years

On December 24, BYD announced that its holding subsidiaries BYD Automotive Industry and Daimler intend to increase the capital of Shenzhen Denza New Energy Automobile Co., Ltd. by 1 billion yuan in monetary terms according to the proportion of shareholding. After the completion of the capital increase of the shareholders of both parties, BYD Automobile Industry and Daimler will continue to hold 50% of the equity of Denza New Energy respectively.

On December 24, Daimler announced that Daimler Greater China Investment Co., Ltd. (hereinafter referred to as "Daimler") and its Chinese partner BYD Automobile Industry Co., Ltd. (hereinafter referred to as "BYD") signed an equity transfer agreement on adjusting the structure of its joint venture Shenzhen Denza New Energy Automobile Co., Ltd. (hereinafter referred to as "Denza") to complete the equity transfer between the two parties in Denza.

Upon completion of the transfer, Daimler and BYD will hold 10% and 90% of Denza's shares, respectively. The matter is subject to the approval of the relevant regulatory authorities and is scheduled to be completed by mid-2022.

In 2010, Daimler and BYD signed an agreement to establish a 50:50 R&D technology joint venture "Shenzhen BYD Daimler New Technology Co., Ltd." to develop and produce new energy vehicles. The joint venture launched a new car under the "Denza" brand, but sales were sluggish.

It is also understood that after despec completes the equity adjustment, it will also launch three new models, including MPV and SUVs, within two years. According to the official website of Denza, there are currently two models of Denza X plug-in hybrid and pure electric on sale.