Neta has announced the closing of a RMB 7 billion Crossover round of financing, without revealing any other details about the funding.
(Image credit: CnEVPost)
Neta Auto, the new energy vehicle (NEV) brand of Chinese electric vehicle (EV) company Hozon Auto, has closed a new round of funding, the first in the past year.
Neta closed a Crossover round of funding in the amount of RMB 7 billion ($960 million), the company announced last night.
Neta did not release any other details about the financing, including who the investors were.
Crossover rounds are different from the common Series A, B, and C rounds, and are usually the final financing before a company goes public. This type of financing refers to capital-raising activities by private companies that include investors who have traditionally invested primarily in publicly traded companies.
Neta was founded in October 2014 and received approval from China’s economic planner, the National Development and Reform Commission (NDRC), for its automobile production qualification in April 2017. In November 2018, Neta’s first model, the N01, was launched.
In September 2017, Neta secured RMB 2 billion in angel round financing and RMB 1.25 billion in Series A financing in December of the same year.
Between April 2019 and July 2022, Neta secured Series B to Series D financing totaling billions of RMB.
In November 2021, a report by local media outlet Sina reported that Neta was then in the midst of a new funding round of up to $1 billion, a Pre IPO round ahead of its listing in Hong Kong.
A Bloomberg report at the time said the company was considering an IPO in Hong Kong that could raise about $1 billion, with the IPO likely to happen as early as 2022.
However, Neta has yet to release any information about the potential IPO.
Neta delivered 10,039 vehicles in July, down 28.48 percent from 14,037 in the same month a year ago and down 17.25 percent from 12,132 in June, according to figures it announced on August 1.
The company didn’t explain why deliveries slipped in July, though its model switch may have had some impact.
In the January-July period, Neta delivered 72,456 vehicles, a 6.11 percent decrease year-on-year.
($1 = RMB 7.2807)