China’s crowded car industry moves towards consolidation

Nio's shares rose slightly after Geely Holding agreed to a 30% stake in its battery-swapping unit, NIO Power, for 640 million yuan ($95.3 million) plus Yiyi Internet Technology. The deal values NIO Power at 16 billion yuan ($2.38 billion). Nio's shares were up 0.42% at $3.585, while broader markets fell. Details on financial and commercial terms were not disclosed.

NIO and Geely formed a partnership in charging and battery swapping, with Geely investing RMB 640M in NIO Energy. Momenta partnered with DSAT to develop ADAS for Peugeot and Jeep. RoboSense integrated its LiDARs with NVIDIA's Holoscan Sensor Bridge.

Geely is investing in NIO's battery-swapping business, NIO Power, taking a 30% stake. Geely will contribute its battery-swapping business and RMB640 million in cash. NIO will retain control with 63.6% ownership. Geely's stake may adjust based on performance. The companies are also integrating their charging businesses, with NIO acquiring a 10% stake in Geely's Haohan Energy. (via Reuters)

NIO Inc. (NYSE: NIO) announced a battery-swapping and charging deal with Zhejiang Geely Holding Group. Geely will take a 30% stake in NIO Power, valued at ~$2.38B, while NIO China retains majority control. NIO will also acquire a 10% stake in Geely's battery-charging subsidiary. Shares rose 1.40% in premarket trading on Monday.

NIO agrees to sell 30% of NIO Power to Geely for RMB640M cash and Yiyi Power unit, valuing the business at RMB16B. NIO retains control with 63.6%. Deal includes charging network exchanges and is subject to regulatory approval. Both aim to expand scale and coverage. NIO had 4,126 swap and 5,307 charging stations in China as of Sept. 27.

Geely Holding Group is investing in Nio's battery swapping unit, Nio Power, with a 30% stake valued at approximately RMB16 billion. Nio's stock rose 3% to $3.67, while XPeng and Tesla shares declined. The deal provides a valuation reference for Nio Power and may expand its technology adoption.