Sunwoda Battery, which has received 2.4 billion yuan of investment from many car companies, has recently been good news, while it is investing in new projects in a big way, and has won new orders from major customers.
On the evening of March 1, Sunwoda Electronics Co., Ltd. (300207, hereinafter referred to as Sunwoda) announced that its subsidiary Sunwoda Electric Vehicle Battery Co., Ltd. (hereinafter referred to as Sunwoda Automotive Battery) intends to sign a project investment agreement with the Zhuhai Municipal Government to invest in the construction of the "Sunwoda 30GWh Power Battery Production Base Project (tentative)" within the jurisdiction of the Zhuhai Municipal People's Government.
The power battery project plans to invest a total of about 12 billion yuan, of which the total investment in fixed assets is about 10 billion yuan. It plans to build a power battery project with a total production capacity of 30GWh, and engage in the research and development, design, production and sales of power cells, battery modules and battery systems. Sunwoda Auto Battery will set up Zhuhai Sunwoda New Energy Co., Ltd. in Zhuhai to be responsible for the specific implementation of the project.
At the same time, Sunwoda Auto Battery recently received a fixed-point notice from the Passenger Car Branch of SHANGHAI AUTOMOTIVE Group Co., Ltd. (600104, hereinafter referred to as SAIC) on the ZS12MCE HEV project, and supplied power battery assembly products for the ZS12MCE HEV project of SAIC Motor.
Sunwoda said that SAIC Motor is currently one of the major domestic automobile manufacturing companies, and the company was selected as the supplier of power battery assembly products for SAIC ZS12MCE HEV project, marking an important progress in the company's HEV electric vehicle battery business and helping to enhance Sunwoda's comprehensive competitive strength in the field of HEV electric vehicle batteries.
Image source: Sunwanda
Founded in Shenzhen in 1997 and listed on the A-share GEM in 2011, Sunwoda is the first listed enterprise on the GEM to "develop, manufacture and sell lithium battery modules as a whole", and is now a global leader in the field of lithium-ion batteries. Major customers include Huawei, Xiaomi, Lenovo, OPPO, VIVO, Geely, Nissan, Renault, Dongfeng Liuqi, Xiaopeng and so on.
On February 24, Sunwoda announced that its wholly-owned subsidiary Sunwoda Auto Battery increased its capital by 2.43 billion yuan, led by Chehejia and Weirui Investment, and followed by 19 enterprises and capital institutions such as SAIC Jinshi, Huayou Holdings, and Shenzhen State-owned Assets Supervision and Administration Commission (Shenzhen Innovation Investment Group Co., Ltd.).
The 19 companies participating in the capital increase are: Harmony Haihe, Chehejia, Sky Top, Weirui Investment, Cruise Investment, Ruihai Yuneng, Jiaxing Yichen, Hengjunrui, SAIC Jinshi, Huayou Holdings, Aowen Investment, Guangqi Xindian, Hesheng Investment, Xinwang Green, Xinzhifeng Investment, BOCOM Yuanzhi, Foshan Chengyu, Laterite Yuechuan, and Shenzhen Venture Capital.
The above-mentioned enterprises subscribed to the new registered capital of Sunwoda Auto Battery of 1.2365 billion yuan, corresponding to the total equity of Sunwoda Auto Battery of 19.5495% after the completion of this capital increase. After the completion of the capital increase, the registered capital of Sunwoda Battery will increase from about 5,088.7 million to 6,325.2 million.
In addition, after the completion of this capital increase, the equity ratio of Sunwoda Battery Company will also change. Sunwoda's subsidiary Sunwoda Huizhou New Energy Co., Ltd. held the equity ratio of Sunwoda auto batteries from 71.5315% to 57.5475%, and Sunwoda automotive batteries are still holding subsidiaries within the scope of the company's consolidated statements.
It is worth noting that the three companies led by this capital increase are from Ideal Automobile, Xiaopeng and Weilai. Chehejia, which has invested 400 million yuan, is an ideal automobile affiliated enterprise, and the legal representative is Shen Yanan, co-founder of ideal automobile, who will hold 3.218% of the equity of Sunwoda Battery. Sky Top LLC, which also invested 400 million yuan, is an affiliate of Xiaopeng Motors, which will also hold 3.218% of the shares. Weirui Investment and Weilai Automobile both belong to the e-car Group, and this time it invested 250 million yuan.
Image source: Screenshot of Sunwoda's announcement
In addition to "Wei Xiaoli", the investors of Sunwoda Battery also have many car companies, including SAIC Jinshi, Guangqi Xindian, Dongfeng Bank of Communications, etc., which are related to SAIC Group, GAC Group and Dongfeng Motor. Shortly after investing in Sunwoda, SAIC Motor selected Sunwoda as the supplier of power battery assemblies for the ZS12MCE HEV project.
At present, the main battery suppliers of most new energy vehicle companies in China are the leading power battery enterprises Ningde Times New Energy Technology Co., Ltd. (300750, hereinafter referred to as NINGDE Times). According to the statistics of CITIC Securities on domestic power battery supporting car companies from January to November 2021, the two new car-making forces of Weilai and Ideal, as well as joint venture brands such as FAW-Volkswagen, BMW Brilliance, SAIC-Volkswagen and Beijing Hyundai, only have a battery supplier in ningde era, and most of the supply shares of Tesla, BAIC new energy, SAIC, Geely Automobile, Xiaopeng Automobile, and SAIC-GM come from Ningde era.
Image source: Cui Dongshu WeChat public account
According to data from the China Automotive Power Battery Industry Innovation Alliance, in 2021, catheter will occupy 52% of the domestic power battery market share with an installed capacity of 80.51Gwh, while Sunwoda will only account for 1.3% of the domestic power battery market share.
Image source: China Automotive Power Battery Industry Innovation Alliance
Under the background of the rapid growth of market demand for new energy vehicles and the sharp rise in the price of battery raw materials, the shortage of power battery supply has become a common problem faced by the industry, and battery orders cannot be supplied in time.
Recently, due to the insufficient supply of major components such as lithium iron phosphate batteries, the Xiaopeng P5 460 model equipped with lithium iron phosphate batteries could not be delivered on schedule, and Xiaopeng Automobile was collectively complained by many car owners. Last year, there were rumors that He Xiaopeng, chairman and CEO of Xiaopeng Automobile, "squatted" for a week in the Ningde era in order to smoothly get the goods.
In order to fight for bargaining power and avoid being stuck by upstream battery manufacturers, car companies need to avoid risks by selecting multiple battery suppliers. Previously, some media had reported that Xiaopeng Automobile would cut the supply share of the Ningde era and introduce new battery suppliers. Xiaopeng officially responded: "The supply chain of parts and components produced by vehicles needs to be continuously improved in order to better guarantee supply and production and predict the delivery cycle more accurately."
Although the current production capacity of Sunwoda is far less than that of the Ningde era, the momentum of expansion in recent years is fierce. According to incomplete statistics, Sunwoda's planned investment in the field of power batteries in recent years has exceeded 60 billion yuan.
In 2021, Sunwoda invested a total of 40 billion yuan to establish power battery production bases in Nanchang, Jiangxi and Zaozhuang, Shandong. The power battery project cooperated with Geely will build 3 BEV and 7 HEV power battery production lines, and it is expected to achieve an annual output of 800,000 sets of hybrid batteries after reaching production.
According to the data of the Power Battery Application Branch, the installed capacity of power batteries in the Chinese market in January 2022 was about 16.56GWh, an increase of 95.3% year-on-year. The installed capacity of Sunwoda power batteries reached 232.4MWh, ranking 8th in the country, an increase of more than 400% year-on-year, and the growth rate far exceeded that of the rest of the battery companies on the list.
Image source: Power Battery Applications Chapter