Changan Kaicheng, a subsidiary of Changan Automobile, has announced its plans to raise up to 2.5 billion yuan through a capital expansion by publicly listing on the Chongqing United Assets and Equity Exchange Group. This move is aimed at attracting new investors and expanding the company’s presence in the commercial vehicle market.
Changan Automobile is set to contribute up to 500 million yuan in cash and intangible assets towards the capital expansion. Additionally, China Changan Automobile Group and Southern Industrial Asset Management Co., Ltd. are expected to make further investments in Kaicheng. The remaining investors are yet to be finalized, but following the capital injection, Changan Kaicheng will continue to operate as a majority-owned subsidiary of Changan Automobile.
This announcement comes after Kaicheng revealed its new brand strategy at the Auto Guangzhou 2024 event on November 15. The company is shifting its focus towards becoming a digital new energy commercial vehicle brand. As part of this strategy, Kaicheng has introduced a dual-brand approach, retaining the traditional “sun” logo for its existing fuel-powered models, while adopting a new “cube” logo to symbolize innovation.
The revamped Kaicheng brand will concentrate exclusively on new energy vehicles, with plans to launch the first models in 2025. This strategic shift underscores the company’s commitment to innovation and sustainability in the commercial vehicle sector.
Overall, Changan Kaicheng’s capital expansion and brand repositioning signify a new chapter in the company’s growth and development. By attracting new investors and focusing on new energy vehicles, Kaicheng is poised to strengthen its presence in the market and drive future success.
