Middle East money: Actively investing in China’s EV and autonomous driving
-China Pony.ai, WeRide, Hongjing Drive-
-Saudi NEOM Fund, Abu Dhabi CYVN Holdings-
We will deliver a summary from the article written in 36Kr Japan.
Investment institutions in Middle East countries:
Recently, Middle East funds have shown strong interest in Chinese AI and smart cars.
He always generously invests in Chinese ventures. They are hard-to-find supporters.
NEOM Investment Fund (NIF):
-About Saudi Arabia’s smart city project-
1. NEOM invested $100 million (15 billion yen) in self-driving Pony.ai.
2. Pony.ai will introduce robotaxis to NEOM (currently under construction).
The two companies also established a joint venture. The plan is to establish a production and development base.
Partnership talks with Abu Dhabi Investment Authority:
China’s Pony.ai has established close relationships with Middle Eastern investment institutions.
Became a member of the Abu Dhabi Autonomous Driving Industry Cluster (SAVI).
Obtained permission to conduct public road tests on Yas Island.
Partnering with Abu Dhabi Investment Authority:
On October 18, we entered into partnership discussions with Abu Dhabi Investment Authority, a UAE sovereign wealth fund.
Pony.ai’s highest valuation:
Pony.ai was founded in 2016.Chinese self-driving company.
It currently has the highest valuation.
Even after this D2 procurement series, Pony.ai’s momentum has not slowed down.
The valuation is $8.5 billion (1.27 trillion yen).
Pony.ai’s driverless technology:
Obtained permission for test operation and trial operation of unmanned driving in four first-tier cities in China.
Pony.ai has so far focused on developing robotaxis and robotracing.
We have been aiming for ”unmanned driving that does not require a driver.”
Established joint venture with GAC Toyota:
Pony.ai also aims to commercialize robotaxis.
The company plans to establish a joint venture with Toyota China Corporation and GAC Toyota.
Funding for Chinese startups:
Recently, the valuation in China has increased too much.
It is currently difficult to raise funds in the Chinese market.
The deterioration of US-China relations has had a negative impact.
The Chinese startup has shelved its listing in the US.
Chinese startups’ shift to the Middle East:
Chinese driverless driving companies have been highly praised by Middle Eastern investment institutions.
China’s Wenyuan Zhiyuki (WeRide):
Like Pony.ai, it works on autonomous driving. Obtained a Level 4 autonomous driving license in the UAE.
Hongjing Drive in China: T
he company received an investment of tens of millions of yuan (hundreds of millions to billions of yen) from Prosperity7 Ventures, a subsidiary of Saudi Aramco.
China’s Ullai Automobile (NIO):
Chinese NEV manufacturers are also a popular investment destination in Middle Eastern countries.
Recently, Nio Automobile’s (NIO) cash flow has improved significantly.
Abu Dhabi sovereign wealth fund:
CYVN Holdings In June of this year, CYVN Holdings announced that it would invest $1.1 billion (160 billion yen) in NIO.
Invested by CYVN Holdings:
In addition to newly issued shares by NIO, we will purchase outstanding shares from Tencent.
He held a 7% stake.
China’s Human Horizons Human Horizons,the parent company of ultra-luxury EV brand HiPhi
Signed an investment agreement worth $5.6 billion (840 billion yen) with the Saudi Arabian Ministry of Investment.
Great Wall Flower Crown (CH-AUTO)
We have entered into a strategic partnership with Manaseer Group, Jordan’s largest private company.
Smart EV brand “BeyonCa”
On October 23, the company signed a memorandum of understanding regarding investment and strategic partnership with Saudi Arabia’s Al Faisaliah Group (AFG).
The Middle East is moving away from oil dependence:
Middle East investment institutions support China’s new energy vehicles.
This has something to do with the trend towards a move away from oil dependence in the Middle East.
Saudi Arabia: Vision 2030
The aim is to increase the EV penetration rate in the capital Riyadh to over 30% by 2030.
Strict lending conditions in the Middle East:
Middle Eastern countries do not invest unconditionally.
36Kr spoke to multiple people involved to find out the terms of the loan.
Most Chinese investment projects:
1. There are conditions attached to performance.
2. The investment will be divided into multiple installments.
3. Payment is made each time a certain performance is achieved.
https://news.yahoo.co.jp/articles/b1323a541e09d9f6d66347ec2dd7a5a34ee9bcba