Li Auto is investing ¥2,65 billion, equivalent to $390 million, into Sunwoda EVB. Following this Series C++ funding round, Li Auto will hold an 8.79% direct stake, with a total of 11.17% held through related entities. The transaction values the battery manufacturer at ¥30,14 billion post-investment.
The deal aims to foster a long-term partnership in battery technology, manufacturing quality, and supply chain management. Li Auto will continue to define product standards and performance targets, while Sunwoda EVB will focus on engineering and mass production. Sunwoda will retain control of the unit, though its stake will be diluted to 24.06%.
Sunwoda EVB reported revenue of ¥15,53 billion and a net loss of ¥324 million for the first half of 2026. The company currently holds a 3.59% market share in China, ranking seventh among power battery manufacturers. The new capital is intended to improve the subsidiary's financial position and reduce its debt-to-asset ratio.
The two companies have a history of collaboration, including a 2022 investment and the 2025 establishment of a joint venture, Shandong Li Auto Automobile Battery Co Ltd. Li Auto also maintains a strategic supply agreement with CATL and plans to integrate its own battery technology into more vehicle models starting in the second half of 2026.