Shanghai (Gasgoo)- On the evening of December 29, ECARX announced that it had entered into a share subscription agreement with Lotus Technology on December 23, 2025. Under the deal, ECARX will subscribe to 16,788,321 newly issued ordinary shares of Lotus Technology at a price of $1.37 per share, representing a total investment of $23 million.
The investment is intended to broaden the scope of cooperation between the two companies, strengthening their existing ties and advancing a more integrated global partnership with stronger strategic alignment.
Although both companies are part of the broader Geely ecosystem, their recent business trajectories and market performances have followed distinct paths.
ECARX, a global mobility technology company, has delivered strong recent results. In the third quarter of 2025, it achieved operating profitability on a comprehensive basis for the first time, posting total revenue of $219.9 million, up 11% year on year. Gross profit reached $47.6 million, marking a sharp 39% increase. By the end of September 2025, nearly 10 million vehicles worldwide were equipped with ECARX-developed technologies.
Lotus Technology, positioned as a global luxury electric sports car brand, has encountered a different mix of challenges and opportunities. Its third-quarter 2025 results showed a net loss of $0.10 per share, an improvement from a loss of $0.30 a year earlier. However, revenue declined to $137 million from $255 million in the same period last year.
Beyond a financial transaction, ECARX's investment in Lotus reflects the deeper structural shift underway in the automotive industry as competition increasingly centers on intelligence, software and digital ecosystems.
ECARX's global expansion strategy has begun to yield tangible results. As of the third quarter of 2025, the company had secured more than $2.5 billion in global order backlog, with overseas contracts spanning multiple mainstream automakers in Europe.
For Lotus Technology, the capital injection may translate into enhanced access to advanced technologies in areas such as intelligent cockpits and smart driving systems.
As industry competition continues to shift from electrification toward intelligence, the partnership could unlock deeper collaboration between the two companies in technology development, market expansion and supply chain integration.
ECARX co-founder, chairman and CEO Ziyu Shen said the investment represents a natural and important step in the long-term evolution of the partnership. He noted that Lotus is a globally recognized automotive brand with strong international growth potential, adding that the combination of ECARX's Pikes computing platform and the industry-leading Cloudpeak cross-domain software platform could help Lotus build a future-ready technology foundation for next-generation intelligent mobility worldwide.
Lotus Technology CEO Feng Qingfeng said the investment further strengthens the long-standing partnership between the two companies. He described ECARX as a key collaborator in Lotus' efforts to redefine the intelligent cockpit, adding that deeper and more globalized cooperation would accelerate innovation around next-generation cockpit ecosystems and deliver more advanced AI-driven user experiences. He also said the deal underscores investor confidence in Lotus' ability to create long-term value for shareholders.
