XPeng and Didi Complete Their First Transaction Delivery
On November 13th, XPeng Motors announced that it has completed the initial delivery of assets related to Didi’s intelligent car development business. As part of the transaction, XPeng issued Class A common shares representing 3.25% of the total share capital after completion as consideration shares to Didi. XPeng Motors emphasized that in addition to the collaboration on the Mona model project, both parties are gradually deepening and implementing their cooperation in areas such as intelligent cockpit, autonomous driving, charging, and marketing.
On August 28th of this year, XPeng Motors announced that it has signed a share purchase agreement with Didi and its subsidiaries. According to the agreement, XPeng Motors will issue Class A ordinary shares representing 3.25% of the total share capital after the completion of the transaction in order to acquire relevant assets and research and development capabilities of Didi’s smart electric vehicle project. This makes Didi a strategic shareholder of XPeng Motors, with an initial lock-up period for the shares set at 24 months.
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Based on this collaboration, XPeng Motors plans to launch its second brand “Mona” with a positioning in the 150,000 yuan range (＄20,567). It is reported that two products under this brand will be launched by the end of 2024, priced at approximately 150,000 yuan. The technological foundation for these products comes from Didi’s car-making project. XPeng Motors will integrate Didi’s car-making technology into the Mona project and incorporate their own self-developed intelligent software capabilities such as XNGP and smart cockpit. The related products will be manufactured at XPeng Motors’ own production base.
He Xiaopeng, Chairman of XPeng Motors, stated that the products in the Mona project will have significant differences from XPeng Motors’ existing products. The sales target is set at 100,000 units per year. In addition, Didi will help the Mona project’s products target corporate users through its platform and ecosystem. There are plans to define a few shared travel configuration models for this project. XPeng Motors and Didi have also signed a sales bet agreement. If Didi’s platform and ecosystem achieve annual sales exceeding 100,000 units, XPeng will provide additional equity as compensation.
In addition to technical cooperation, Didi will also open up its entire ecosystem to XPeng Motors and provide various forms of support, including intelligent cabins, autonomous driving, and the shared mobility market. He Xiaopeng stated that the Mona project marks XPeng Motors’ entry into the multi-brand stage, making it the second domestic emerging automaker to focus on multi-brand strategies. Additionally, due to Didi’s mature development level, the Mona project can be launched in a relatively short period of time.
