News of a surge in capital seeking other players in China’s electric car market comes as more established start-ups like Nio and Xpeng have already delivered more than 10,000 cars each in November alone. Unofficial figures – which Hycan has refused to confirm – indicate sales of a few hundred vehicles in the first ten months of this year.
“In January, we raised over 2 billion yuan ($ 312.5 million), which is recognition from our large investors. Then the new round of global financing will not be less than this figure, ”said Yang Ying, CEO of Hycan. in Mandarin on December 1 at CNBC’s annual East Tech West conference in the Nansha district of Guangzhou, China.
Yang did not say when the funding round will end. He said around 20 funds and investment institutions around the world were interested in Hycan.
GAC and a company called Pearl River Investment invested 2.4 billion yuan in the start-up in January, according to the electric car maker. That month, Yang became CEO after holding various leadership positions at GAC. The start-up finalized a rebranding under the Hycan name in May.
The company launched its second model in October, an electric SUV called the Z03 with a price range of 132,800 yuan to 168,800 yuan. That’s a lower price range than models from Nio and Tesla.
Yang said Hycan has received more than 30,000 orders. He expects the company’s total shipments for this year to be at least 10 times higher than last year. It was not clear how many vehicles Hycan would deliver in 2020, when the only model it had on the market was the 007.
Hycan focused its strategy on attracting young consumers, mainly born after 1995. The start-up highlighted its partnership with Chinese esports team EDG, which beat a South Korean team in a very well attended championship in November.
Yang said the company plans to partner with two or three international fashion brands next year, although he said he could not yet release their names.