After a + round of financing, the valuation exceeds 10 billion, and BYD subsidiarys spin off and listing speed is increased

category:Finance
 After a + round of financing, the valuation exceeds 10 billion, and BYD subsidiarys spin off and listing speed is increased


Photo source: screenshot of BYD announcement

BYD semiconductor capital increase and share expansion project has attracted a large number of financial and industrial investors. Considering the business resource integration and cooperation matters to be implemented in the future, the second round of introduction is carried out. The head of BYD said in an interview with the reporter of the daily economic news.

With the first round financing of 1.9 billion yuan, BYD semiconductor has obtained investment from more than 30 investment institutions with 44 main bodies, with a total financing amount of about 2.7 billion yuan. At present, BYD semiconductor has completed internal restructuring, equity incentive, introduction of strategic investors and other work. BYD said that in the future, BYD semiconductor will actively promote the work related to listing, so as to build an independent capital market operation platform, improve the companys independence and promote the business development and growth.

Semiconductor business valued at over 10 billion

Photo source: visual China

On May 26, BYD announced that BYD semiconductor completed round a financing, with a total capital increase of 1.9 billion yuan. Among them, RMB 76.05 million is included in the newly increased registered capital of BYD semiconductor, and RMB 1.824 billion is included in the capital reserve of BYD semiconductor. Investors in this round have acquired about 20.21% of the equity of BYD semiconductor after the capital increase and share expansion.

BYD said that after the completion of the above capital increase and share expansion, the registered capital of BYD semiconductor is about 408 million yuan, BYD holds about 72.3% of the equity of BYD semiconductor, and BYD semiconductor is still included in the scope of the companys consolidated statements.

According to qixinbao data, BYD semiconductor had a registered capital of about 300 million yuan when it was founded, formerly Shenzhen BYD Microelectronics Co., Ltd., updated the companys name on January 21, 2020, and completed the reorganization in April. Its main business covers the whole industry chain of integrated operation, including R & D, production and sales of power semiconductor, intelligent control IC, intelligent sensor and photoelectric semiconductor. Among them, the core technology of IGBT (insulated gate bipolar transistor) is the core business of BYD semiconductor.

Photo source: screenshot of qixinbao official website

After the completion of round a + financing, the overall valuation of BYD semiconductor reached 10.2 billion yuan. BYD said that the introduction of strategic investors is not only to obtain funds and optimize the asset liability ratio, but also to accelerate the independent spin off and listing of BYD semiconductor.

The power battery sector is also preparing to go public

As a leading enterprise in the domestic new energy automobile industry, BYD has been deeply involved in the new energy industry chain for a long time, mastering the core technologies of power battery and electric vehicle IGBT. But for a long time, whether it is the power battery or IGBT core technology of new energy vehicles, BYD is mainly self-sufficient internally, and the proportion of export sales is relatively low.

Guohai Securities believes that the financing of BYD semiconductor has opened the prelude to the independent marketization of BYDs subsidiaries. In the future, it is expected to usher in the independent marketization of other business sectors (such as power battery), further stimulating the growth space of BYD.

On June 5 this year, Li Yunfei, deputy general manager of sales of BYD automobile, said in an interview with the reporter of daily economic news that the company is steadily pushing forward the separation and listing of its power battery business.

With the planned date of the separation and listing of the power battery business approaching, BYD is speeding up the separation and listing of its power battery business after 2020. For example, in March this year, BYD announced the establishment of five new independent sub brands named after Verdi; Verdi is the first product blade battery released by the company to the outside world; it frequently changes the legal representative and chairman of the companys power battery subsidiary.

The emergence of ferdi is the inevitable choice of BYD after years of vertical integration and development. Wang Chuanfu said that BYD technology and products will be open and shared globally in the future.

Photo source: by Li Xing, a journalist

As an important layout of opening and sharing, the establishment of Fudi company marks that the parts business of BYD has changed from market-oriented product to market-oriented enterprise version 2. According to the plan, BYDs total power battery capacity is expected to reach 60gwh by 2020, expanding by five times the capacity of 12gwh last year.

With the increase of production, the power batteries produced by BYD began to be exported. In addition to the cooperation with Toyota and Changan Automobile, Zhao Changjiang, general manager of BYD Automobile Sales Co., Ltd., once disclosed that BYD and ideal automobile have reached a cooperation to provide power batteries for ideal automobiles vehicles.

Not only that, for the blade battery produced by the company, Li Yunfei also revealed in an interview with reporters, all the automobile brands you can think of are discussing with us the cooperation scheme based on blade battery technology.

From the current process of BYDs splitting and listing of semiconductor and power battery business sectors, BYD semiconductor may finish the listing before the battery sector.

Semiconductor ushers in the window period of domestic substitution

In the view of Cao he, President of all in vehicle Investment Management (Beijing) Co., Ltd., BYD semiconductor, as one of the few professional automotive chip suppliers in China, has a positive significance for improving the supply situation of domestic automotive chips, whether to obtain capital increase or to seek listing.

In fact, for a long time in the past, the dominant power of domestic semiconductor market has been controlled by foreign enterprises such as Infineon, especially in the field of IGBT for vehicles.

IGBT is a modular semiconductor chip which is packaged by insulating gate bipolar crystal chip and continuous current diode chip (FWD) through a special process. Due to the complex manufacturing process, only a few big brands have the ability to manufacture this kind of chip in many new energy vehicle brands.

Photo source: visual China

According to the survey, most of the domestic automotive IGBT chip market, especially the high-end high-power automotive semiconductors, is still dominated by Infineon, Mitsubishi, Xiantong, Toshiba and other international enterprises.

Benefiting from the strong support of China for the development of new infrastructure, new energy and other industries, as well as the goal of independent control of domestic semiconductors, Chinese semiconductor enterprises begin to usher in the window period of domestic substitution. As an independent and controllable leading manufacturer of IGBT, BYD has broken the monopoly of international manufacturers on IGBT market by using its R & D accumulation in semiconductor field and large-scale application of new energy vehicles.

According to the public data, in 2019, Infineon delivered 630000 sets of IGBT of domestic vehicle specification level, accounting for 58% of the market. BYD shipped 190000 units, accounting for 18% of the market, ranking second.

Not only that, BYDs deep-rooted semiconductor field is seen as the next blue ocean for all kinds of capital competing. The demand of automobile enterprises for chips, driven by market and capital, all make the domestic chip industry present the trend of rising water and ship. It is understood that Huaweis Hubble Technology Investment Co., Ltd. has invested in 10 semiconductor related enterprises continuously since its establishment. Before Xiaomi Group invested in BYD semiconductor, it began to invest in semiconductor enterprises frequently. In addition, some domestic enterprises with technical strength, including Huawei, have also started to cross-border into the field of IGBT. Up to now, Huawei has not only started to develop IGBT, but also started to supply the motor control system, three in one charging and distribution unit and intelligent driving system of IGBT to the mass production vehicles of SAIC and other vehicle enterprises. Icinsights, a market research firm, predicts that by 2021, automotive semiconductors will be the strongest end market in the chip industry. Source: editor in charge of daily economic news: Yang Bin_ NF4368

Not only that, BYDs deep-rooted semiconductor field is seen as the next blue ocean for all kinds of capital competing. The demand of automobile enterprises for chips, driven by market and capital, all make the domestic chip industry present the trend of rising water and ship.

It is understood that Huaweis Hubble Technology Investment Co., Ltd. has invested in 10 semiconductor related enterprises continuously since its establishment. Before Xiaomi Group invested in BYD semiconductor, it began to invest in semiconductor enterprises frequently. In addition, some domestic enterprises with technical strength, including Huawei, have also started to cross-border into the field of IGBT.

Up to now, Huawei has not only started to develop IGBT, but also started to supply motor control system, three in one charging and distribution unit and intelligent driving system of IGBT to the mass production vehicles of SAIC and other vehicle enterprises.

Icinsights, a market research firm, predicts that by 2021, automotive semiconductors will be the strongest end market in the chip industry.