Li Auto's chip unit MHX raises $243M in early VC round
What's the deal? Li Auto's chip subsidiary, MHX TechnologyDealroom has a profile for this one. Try Dealroom →, has raised US$223.4M (roughly $243 million) in an early VC round. The Beijing-based electric-vehicle maker announced the financing on October 16, with external investors Hangzhou Jingtao, Lanchi VenturesDealroom has a profile for this one. Try Dealroom →, Huaye TianchengDealroom has a profile for this one. Try Dealroom →, and MiraclePlusDealroom has a profile for this one. Try Dealroom → contributing US$85.9M, and a wholly owned Li Auto subsidiary adding US$137.5M.
What's the endgame? Shanghai Mahe Xin Technology — known as MHX Technology — is the unit dedicated to Li Auto's chip and domain controller business. The raise funds a push into the in-house silicon that increasingly underpins electric and autonomous vehicles.
Why now? Li Auto, listed on both the Nasdaq and the Hong Kong exchange, calls itself a leader in China's new energy vehicle market. Bringing outside capital into the chip arm lets it fund that work without drawing solely on the parent company's balance sheet.
The signal: Carving out a chip business and backing it with venture money reflects a wider drive among Chinese automakers to control their own semiconductor supply. For Li Auto, the structure signals it sees domain controllers and custom chips as a standalone business worth outside investment.
Read more: aktiencheck.de
Image credit: Generated with Gemini
