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Exclusive | Chinese Tesla challenger Xpeng tops up on cash from Alibaba and Qatar ahead of New York Stock Exchange IPO
- Xpeng adds Alibaba and The Qatar Investment Authority to US$800 million in C+ round of funding, says source familiar with the matter
- Xpeng has filed confidentially for NYSE listing, source says
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Alibaba Group and Qatar’s sovereign wealth fund are leading a last-minute financing of Chinese smart electric vehicle start-up, Xpeng Motors, ahead of its initial public offering in New York, according to a person familiar with the matter.
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E-commerce giant Alibaba is adding to its existing investment in Xpeng, one of Tesla’s challengers in China, while The Qatar Investment Authority (QIA) is a first-time backer.
China’s electric car start-ups are tanking up on capital to fuel their fight for market share in the world’s largest car market.
Investors are keen to jump on the bandwagon after watching 17-year-old, California-based Tesla overtake Toyota Motor, Volkswagen and Hyundai Motor this year in terms of combined market value to become the world’s most valuable carmaker.
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The additional US$300 million capital injection swells Xpeng’s C+ round of financing to US$800 million. Xpeng said on July 20 that it had raised US$500 million from investment managers Aspex and Coatue, as well as private equity firms Hillhouse Capital and Sequoia Capital China. Other pre-IPO investors may still pile in.
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