(Yicai Global) April 10 -- BIBO, a Chinese smart automotive chassis startup, has secured CNY200 million (USD29 million) in its latest financing round led by electric carmaker Nio’s investment arm Nio Capital and venture capital firm Dongfang Jiafu Asset Management.

Other participants in the A-Series included car electronics company CWB Automotive Electronics and private equity firm Addor Capital, the Shanghai-based company said today on WeChat.

The funds raised will be used for the research and development of many new products including the integrated brake-by-wire system, said BIBO, which runs two R&D centers in Beijing and Shanghai.

The brake-by-wire chassis, which allows the brakes to be controlled electronically rather than hydraulically, is a necessity for electric cars, said Zhu Yan, managing partner at Nio Capital. As automakers keep upgrading their systems and the need to manage supply chain costs increases, brake-by-wire chassis makers will experience a surge in opportunities.

Last August, the startup bagged about CNY100 million (USD14.6 million) in its pre-A-series fundraiser which was led by Sequoia Capital China Seed Fund.

BIBO, which was set up in May 2021, has obtained purchase orders from different automakers for nearly 20 types of cars so far, it said.

The company, which operates one factory in Nantong, eastern Jiangsu province, is adding two smart production lines to ensure it can meet all its clients’ orders, it said. The company started deliveries in the second half last year and is expected to reach full capacity by the middle of this year.

Editor: Kim Taylor