(Yicai Global) Aug. 26 -- Sunwoda EVB, the electric vehicle battery unit of Sunwoda Electronic, has landed CNY6.9 billion (USD1 billion) in a Series A financing round, including backing from China’s first national-level green investment fund.

The National Green Development Fund, which chipped in CNY490 million (USD71.4 million), was one of 24 investors that joined the fundraiser, Shenzhen-based Sunwoda EVB’s parent company said in a statement yesterday.

Sunwoda Electronic, which makes batteries for mobile phones and laptops, invested CNY2 billion, remaining in control of the unit, though its stake falls to 50 percent from 56.6 percent.

The new financing will help Sunwoda EVB develop further, while optimizing its financial structure and paring debt, which will help to boost future profitability, the parent company said.

Sunwoda EVB turned a profit in the first half of this year thanks to increasing demand. Net profit was CNY133 million, compared with a CNY304 million loss for the whole of last year. Revenue was CNY4.1 billion in the six months ended June 30, or 40 percent more than in all of 2021.

Set up in 2014, Sunwoda EVB has garnered support from major auto industry players. In February, it wrapped up a CNY2.4 billion private placement of shares. The investors included listed Chinese electric carmakers Li Auto and Nio.

Sunwoda's share price [SHE:300207] closed 1.9 percent up today at CNY30.16 (USD4.40). The stock is still down by over a quarter this year.

The National Green Development Fund was formed by China’s finance and environment ministries and the Shanghai city government in July 2020. It secured CNY88.5 billion in initial funding and pledged to invest in green transport and clean energy among other environment-related sectors.

Editor: Emmi Laine, Xiao Yi