Chinese electric car maker LeapMotor raises $288m

Other participants include Sequoia Capital China and domestic brokerage Industrial Securities. The company said it plans to raise a further RMB500 million by the end of this year. Sequoia also backed the company's Pre Series A round of RMB 400 million in January, according to 36kr.

Founded in 2015, LeapMotor produces electric vehicles and develops intelligent autonomous driving systems and electric vehicle batteries. Its main product LP-S01, a four-seat electric coupe priced at around RMB200,000, which is set for release in January. Government subsidies for electric vehicle purchases could reduce the price to RMB100,000-150,000.

The company sees affordability as one of its biggest competitive edges against rivals such as Tesla, which sells vehicles in China at more than RMB800,000 apiece.

LeapMotor opened its first showroom in Hangzhou in November and wants to expand into first-tier cities such as Beijing, Shanghai, Guangzhou, and Shenzhen. It will partner with local franchisees as well as operating directly-owned showrooms.

China is one of the largest markets globally for electric vehicles and hybrid cars with several well-funded start-ups including Xpeng Motors, CHJ Automotive, WM Motor Technology, and Skio Matrix. Xpeng closed an extended Series B round in August with RMB4 billion in commitments, achieving a valuation in excess of RMB25 billion.

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• Topics
• Greater China
• Early-stage
• Technology
• Cleantech
• Sequoia Capital
• Cleantech
• automobiles