(Yicai) March 31 -- Shares in Hongchang Electrical Technology and HopeChart IoT Technology surged today after Zhangxue Machinery, which is backed by Hongchang as a major investor and supported by HopeChart as a sponsor, made history by becoming the first Chinese motorbike team to win a title at the ongoing World Superbike Championship, securing victory in the middleweight class.

Hongchang’s share price [SHE: 301008] soared by the exchange-imposed limit of 20 percent to hit CNY42.29 (USD6.12), while HopeChart’s stock [SHA: 688288] jumped 16.2 percent to close at CNY30.60 (USD4.43).

Hongchang, which mainly makes solenoid valves, water level sensors, modular parts, electronic pumps and car components, owns 29.8 percent of venture capital firm Jinhua Zhechuang Jinyi Zhikong Venture Capital Partnership Enterprise which holds 5.5 percent of Zhangxue Machinery. The Jinhua-based firm’s products are used in smart home appliances such as washing machines and water purifiers, and it also provides supporting services for auto parts.

And HopeChart, which is a strategic partner of the Chongqing-based motorbike manufacturer, said on its WeChat account last month that the Hangzhou-headquartered company will sponsor the team for the 2026 WSBK season.

It’s the first time that a Chinese motorcycle maker has ever won at this top-level event, breaking decades-long dominance by companies such as Ducati Motor Holding, Yamaha Corp. and Kawasaki and the win has drawn huge attention.

Zhangxue Machinery was founded in April 2024 by motorbike racer and mechanic Zhang Xue with a registered capital of CNY65.4 million (USD9.44 million), according to corporate data platform Tianyancha. The firm completed its Series A funding round earlier this month, reportedly raising CNY90 million (USD13 million) and giving it a valuation of CNY1.09 billion (USD157.8 million).

Zhang, who is also legal representative and actual controller of the company, is a notable rags-to-riches entrepreneur. Born in 1987 in a poor mountain village in Huaihua, central Hunan province, he started out as an apprentice in a motorcycle repair shop. He later opened his own repair shop and even tried becoming a professional racer after graduating from junior high school.

After 2007, he worked at Zhejiang Apollo Motorcycle as product development engineer while also racing and working as a mechanic. In 2013, he moved to the southwestern municipality of Chongqing, known as China’s “motorcycle capital,” with just CNY20,000 (USD2,895) in his pocket, building up funds by selling modified bikes online.

In 2017, he co-founded Kaiyue Motorcycles and led the team to compete in the 2023 Dakar Rally, which was the first time a Chinese brand, rider and racing bike appeared at the event.

Zhangxue Machinery is still in the red. Last year the company posted a net loss of CNY22.7 million (USD3.2 million), despite generating CNY750 million (USD108.5 million) in output value, Zhang said at the company’s 2026 Brand Partner Conference. The firm invested nearly 9.3 percent of its revenue, or CNY69.5 million (USD10.1 million), in research and development that year.

Editor: Kim Taylor