Chinese conglomerate Baoneng Group invested 3 billion yuan to establish a company to develop, produce and trade electric vehicle (EV) power batteries to deepen its expertise in manufacturing new-energy vehicles (NEV).
The company, Shenzhen Hongpeng New Energy Technology Co.,Ltd (Shenzhen Hongpeng) was registered on November 19 and will conduct research in lithium-ion battery technology, battery material, lithium polymer battery, fuel cell, power battery and battery scrap. This is according to the Market Supervision Administration of Shenzhen Municipality.
Baoneng Group started to deploy its NEV businesses last year. In December 2017, it invested 6.63 billion yuan for a major stake in Qoros Automotive, a car manufacturer founded in 2007 as a joint venture between Israeli billionaire Idan Ofer's Kenon Holdings and China-based Wuhu Chery Automobile Investment.
Baoneng also invested almost 100 billion yuan to build NEV manufacturing bases in Hangzhou, Kunming, Guangzhou and Shaanxi that can produce more than 2.3 million units per year.