Weilai Hong Kong Stock Exchange listed, a variety of models delivery is imminent! The new car-making force "Wei Xiaoli" gathered in Hong Kong stocks

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On March 10, NIO completed its listing on the Hong Kong Stock Exchange through the way of introduction, officially began to list trading, the stock code is "9866", the first day opened at 160 Hong Kong dollars / share, the stock price rose by more than 5% at one point, as of the close, up 0.7%, at 158.9 Hong Kong dollars / share.

Wind data shows that as of the close of the US Eastern Time on March 9, the US stock Weilai rose more than 12%.

Expansion of financing channels

On 28 February, according to the documents released by the Hong Kong Stock Exchange, NIO applied for listing on the main board of the Hong Kong Stock Exchange. It is understood that NIO adopts the method of introducing listing this time, and does not involve new share issuance and fund raising.

China Securities News and China Securities Taurus reporter learned from Weilai that the introduction of listing can be understood as a listing behavior without financing. By introducing the listing of Hong Kong stocks, NIO will provide investors with more trading location options and more flexible trading hours, which will help introduce more investors and be beneficial to the company's long-term development.

CITIC Securities pointed out that the introduction of the listing can save the time of public offering, quick listing, and then if necessary, NIO can re-finance Hong Kong stocks; after listing, the American Depositary Receipts issued by NIO can be freely convertible with Hong Kong stocks.

According to public information, as of September 30, 2021, NIO's cash reserves totaled about 47 billion yuan (about 7.3 billion US dollars). In November 2021, NIO completed an additional offering of approximately RMB12.7 billion (us$2 billion) of U.S. stock ATMs (over a period of time, gradually selling new shares to the secondary market at the prevailing market price). The relevant person in charge of NIO said that the abundant cash flow of nearly 60 billion yuan has provided financial guarantee for THE follow-up development of new models by NIO.

So far, the new domestic car-making forces Weilai, Ideal Automobile and Xiaopeng Automobile have all achieved the listing of US stocks and Hong Kong stocks.

Industry insiders said that after the listing of the two places, it can provide investors with more trading location options and more flexible trading hours, and the daily trading time has been expanded from 6.5 hours to 12 hours. At the same time, the listing of the two places will help to introduce more investors.

Intelligent acceleration

High-end electric vehicles are the core power track of Weilai. According to the data, as of February 28, NIO has delivered about 183,000 new vehicles (including ES8, ES6 and EC6). In 2021, INO ranks second in the global sales of high-end electric vehicles (with a suggested price of more than 50,000 US dollars, that is, more than 300,000 yuan).

In 2022, NIO will also deliver three new models based on the NT2.0 technology platform: the test drive of the smart electric flagship sedan ET7 has officially opened on March 5 and will be delivered on March 28; the medium-sized smart electric coupe ET5 is expected to start delivery in September 2022; and another medium- and large-sized SUV ES7 will be released and delivered in 2022.

With the continuous strengthening of the degree of intelligence of electric vehicles, car companies are becoming more and more "volume" in research and development investment. It is reported that WEILAI has built a full-stack autonomous driving technology capability that includes perception algorithms, map positioning, control strategies and underlying systems. NIO's ultrasensory system Aquila is equipped with 33 high-performance perception hardware, including 11 8-megapixel high-definition cameras, 1 ultra-long-range high-precision lidar, 5 millimeter wave radar, 12 ultrasonic radars, 2 high-precision positioning units, 1 vehicle-road collaborative perception and 1 enhanced main driver perception, which can generate 8GB of image data per second. Nio's supercomputing platform Adam is equipped with four NVIDIA Drive Orin chips with a computing power of up to 1016TOPS. Volkswagen, BBA (Mercedes-Benz, BMW, Audi) and other traditional car companies have launched exclusive pure electric platforms to produce new energy vehicles, strengthening the production layout in the field of new energy vehicles.

In addition, software services are gradually becoming a new growth point for car companies' revenue. The full function of NIO NAD adopts the service subscription model of "monthly activation and monthly payment", that is, ADaaS (AD as a Service), the service fee is 680 yuan per month, and the service will be gradually provided after completing the development verification. In addition, Tesla has nearly 60,000 beta fully autonomous vehicles in the United States. Tesla CFO Zach Kirkhorn said that Tesla's software business is the focus of development in the future, because the profit margin of the software business is very high. When FSD and Robotaxis finally emerge, the advantages will be revealed.

Accelerate the construction of charging and replacing networks

Battery life anxiety is a major obstacle affecting the development of electric vehicles, and recently enterprises such as Weilai and Ningde Times are accelerating the layout of charging and replacing tracks.

According to the data, as of March 10, WEILAI has laid out 851 substations nationwide, including 227 highway substations; 685 supercharging stations with 3844 supercharging piles; 673 destination charging stations with 3742 charging piles; and more than 480,000 third-party charging piles connected.

China Securities News and China Securities Taurus reporter learned from Niolai that in 2022, NIO will build more than 1,300 substations, more than 6,000 supercharged piles, and more than 10,000 destination charging piles in the Chinese market. In addition, Weilai's "five vertical, three horizontal and four metropolitan areas" high-speed power exchange network was initially completed before the Spring Festival in 2022.

The commercial application of the power exchange model requires cooperation between the vehicle manufacturer and the battery factory. In August 2020, NIO, NINGDE Times, Hubei Technology and Guotai Junan International established WEINENG Battery Asset Company to promote the BaaS power exchange model. Battery asset management companies pay for the initial acquisition cost of power batteries and then recover cash flow through battery rental service fees.

Changjiang Securities pointed out that the project yield of the BaaS solution is highly sensitive to the cycle life of the battery. According to WEILAI's plan, if the battery cycle life can reach 6 years, the battery asset management company will basically break even; if it can be used for 10 years, the project yield will reach about 11%.

CITIC Securities pointed out that the power exchange mode is an effective supplement to the charging mode. Driven by policies, capital and other factors, 2022 is expected to become the first year of the rapid development of the power exchange industry. Huaxi Securities expects that the number of new domestic substations will exceed 9,000 in 2025.

Editor: Zheng Yashuo