(Yicai Global) Jan. 29 -- China's electric car startup Xpeng Motors's CNY2.2 billion (USD347 million) B round of financing process started in Hong Kong today. Chinese e-commerce giant Alibaba Group Holding Ltd., which acquired a 10-percent stake in the carmaker last year, will continue to lead its latest funding. It is the latest in a series of major tech companies investing in NEV manufacturers.
Investors partaking in this round of funding include Taiwanese electronics component maker Hon Hai Precision Industry Co. [TPE:2317], better known as Foxconn Technology Group, and venture capital firm IDG Capital, Xpeng said in a statement. The firm's total funding from the capital markets will exceed CNY5 billion upon completing its B round of financing, online news site 36kr reported today.
The Guangzhou-based Xiaopeng's first mass-produced vehicle, the G3, will go on sale this year and the company will announce more cross-industry partnerships, the company Chairman He Xiaopeng said at a press conference. The model debuted at the International Consumer Electronics Show (CES) in Las Vegas earlier this month, though its price is yet to be announced.
Alibaba Group contributed CNY260 million to Xpeng Motors for a 10-percent stake in a financing round last December, in which Foxconn, IDG Capital and leading Chinese smartphone maker Beijing Xiaomi Technology Co. also took part.
Founded in 2014, Xpeng Motors focused on building internet-enabled electric cars for young users. Chairman He Xiaopeng is the founder of mobile browser developer UC Mobile Limited, which Alibaba Group took over in 2014.