Chinese EV automaker NIO has confirmed that a holding firm backed by the Abu Dhabi government is investing close to $740 million dollars in exchange for new Class A shares in the company. As a new minority shareholder, NIO intends to jointly pursue new global business opportunities and accelerate growth in new markets outside of China.
NIO Inc ($NIO) remains one of the leading EV innovators in its native China, and like many of its competitors, has ventured into new markets like Europe to garner a larger piece of the growing global market.
We’ve watched the automaker ship its lineup of EVs to new markets in Germany, Norway, and Denmark, complete with battery swap stations to support its new customers. Additionally, we’ve seen NIO tease plans for a new EV sub-brand coming to Europe.
All the while, the automaker is developing and implementing innovative battery technologies with the help of behemoths in the space like CATL. NIO CEO William Li has spoken quite candidly in the past about the company’s goal of becoming a top-five-selling automaker by 2030, which includes internal plans to enter the US market by 2025.
As NIO looks to expand further into a globally recognize EV brand, it requires financial peace of mind to bolster its balance sheet and ensure it has the funding to support such ambitious growth this decade. With the help of an Abu Dhabi government fund, NIO appears to have found the cash it seeks in exchange for a minority stake of new company shares.
NIO’s new ET5 Touring/ Source: NIO Inc.
NIO issues ordinary shares to Abu Dhabi fund for $740M
NIO shared that it signed a new share subscription with Abu Dhabi investment firm CYVN Holdings today that totals $738.5 million in cash in exchange for 84,695,543 shares of NIO’s Class A ordinary shares at a purchase price of $8.72 each.
CYVN Holdings investment firm majority-owned by the Abu Dhabi government focused on deploying capital “in smart and advanced mobility solutions to create value and accelerate the transition to a more sustainable future.”
Additionally, NIO shared that the Abu Dhabi owned fund is also in the process of a share purchase agreement with an affiliate of Tencent (an existing NIO shareholder of NIO) to purchase and another 40,137,614 shares of NIO’s Class A ordinary shares. If and when approved, Abu Dhabi’s CYVN Holdings will own about 7% of NIO’s total issued and outstanding shares. NIO founder and CEO William Li spoke:
The strategic investments from CYVN Holdings demonstrate NIO’s unique values in the smart electric vehicle industry. The Investment Transaction will further strengthen our balance sheet to power our continuous endeavors in accelerating business growth, driving technological innovations and building long-term competitiveness. In addition, we are excited about the prospect of partnering with CYVN Holdings to expand our international business. With the vision of Blue Sky Coming, we will continue to strive for technological breakthroughs and user experiences beyond expectations, contributing to a more sustainable future for the globe.
For reference, NIO means “a new day,” but its Chinese name, “Weilai,” means Blue Sky Coming, hence what Li is referencing above.
Following the approved closing of the fresh investment, NIO states CYVN Holdings will have the right to nominate a director to its board as long as it continues to beneficially own at least 5% of the company’s outstanding share capital. The Abu Dhabi-backed fund has also agreed not to sell, transfer, or dispose of any NIO shares for at least six months after the closing of the deal.
The pending shares transaction is subject to customary closing conditions and is expected to be completed in early July.
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Following approval from Transport Canada, EV startup Workhorse will be bringing the W56 and W750 model electric delivery vans to commercial truck dealers in Canada as early as this spring.
“This is a major step forward for Workhorse,” says Josh Anderson, Workhorse’s chief technology officer in a press statement. “Pre-clearance from Transport Canada opens up a large new market for our products throughout Canada, including with fleets that operate across borders in North America.”
Despite that uncertainty, Workhorse execs remain upbeat. “We’re excited that our electric step vans can now reach Canadian roads and highways, providing reliable, zero-emission solutions that customers can depend on,” added Anderson.
Canadian pricing has yet to be announced.
Electrek’s Take
FedEx electric delivery vehicle; via Workhorse.
There’s no other way to say it: the Trump/Musk co-presidency is disrupting a lot of companies’ plans – and that’s especially true across North American borders. But in all this chaos and turmoil there undoubtedly lies opportunity, and it will be interesting to see who ends up on top.
The new Liebherr S1 Vision 140-ton hauler is unlike any heavy haul truck currently on the market – primarily because the giant, self-propelled, single-axle autonomous bucket doesn’t look anything like any truck you’ve ever seen.
Liebherr says its latest heavy equipment concept was born from a desire to rethink truck design with a focus only on core functions. The resulting S1 Vision is primarily just a single axle with two powerful electric motors sending power to a pair of massive airless tires designed carry loads up to 131 tonnes (just over 140 tons).
The design enables rapid maintenance, as important components easily accessible for quick servicing. Wear parts can be replaced efficiently, and the electric drive significantly reduces maintenance work. This helps to minimise downtimes and increases operational efficiency.
LIEBHERR
Because of its versatility, durability, and ability to perform zero-turn maneuvers that other equipment simply can’t, the Liebherr S1 Vision can be adapted for various applications, including earthmoving, mining, and even agriculture. There’s also a nonzero chance of this technology finding applications supporting other on-site equipment through charging or fuel delivery.
The S1 accomplishes that trick safely with the help of an automatic load leveling system that ensures maximum stability, even on bumpy or rough terrain. The company says this technology significantly reduces the risk of tipping while providing smooth and secure operation across various environments.
The HD arm of Hyundai has just released the first official images of the new, battery-electric HX19e mini excavator – the first ever production electric excavator from the global South Korean manufacturer.
The HX19e will be the first all-electric asset to enter series production at Hyundai Construction Equipment, with manufacturing set to begin this April.
The new HX19e will be offered with either a 32 kWh or 40 kWh li-ion battery pack – which, according to Hyundai, is nearly double the capacity offered by its nearest competitor (pretty sure that’s not correct –Ed.). The 40kWh battery allows for up to 6 hours and 40 minutes of continuous operation between charges, with a break time top-up on delivering full shift usability.
Those batteries send power to a 13 kW (17.5 hp) electric motor that drives an open-center hydraulic system. Hyundai claims the system delivers job site performance that is at least equal to, if not better than, that of its diesel-powered HX19A mini excavator.
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To that end, the Hyundai XH19e offers the same 16 kN bucket breakout force and a slightly higher 9.4 kN (just over 2100 lb-ft) dipper arm breakout force. The maximum digging depth is 7.6 feet, and the maximum digging reach is 12.9 feet. Hyundai will offer the new electric excavator with just four selectable options:
enclosed cab vs. open canopy
32 or 40 kWh battery capacity
All HX19es will ship with a high standard specification that includes safety valves on the main boom, dipper arm, and dozer blade hydraulic cylinders, as well as two-way auxiliary hydraulic piping allows the machine to be used with a range of commercially available implements. The hydraulics needed to operate a quick coupler, LED booms lights, rotating beacons, an MP3 radio with USB connectivity, and an operator’s seat with mechanical suspension are also standard.
HX19e electric mini excavator; via Hyundai Construction Equipment.
The ability to operate indoors, underground, or in environments like zoos and hospitals were keeping noise levels down is of critical importance to the success of an operation makes electric equipment assets like these coming from Hyundai a must-have for fleet operators and construction crews that hope to remain competitive in the face of ever-increasing noise regulations. The fact that these are cleaner, safer, and cheaper to operate is just icing on that cake.