In the global climate problem is increasingly contradictory today, China and other countries have put forward the "carbon neutral" theme, fuel vehicles as one of the main sources of carbon emissions, the promotion of electrification is undoubtedly "carbon neutral" vision of great significance.

The New Energy Vehicle Industry Development Plan (2021-2035) issued by the General Office of the State Council of China states that pure electric vehicles will become the mainstream of new sales vehicles by 2035. Starting from 2017, the global new energy vehicles began to grow at a high rate, and in 2023, more than 10 million vehicles; according to the type of power, pure electric accounted for about 73%. According to the International Energy Agency's forecast in China, the European Union and the U.S., the average share of electric vehicles in total vehicle sales is expected to rise to about 60% by 2030. Driven by Chinese exports of new-energy vehicles, overseas consumers' awareness of Chinese brands is gradually climbing, which will further promote the internationalization of Chinese own brands, and it is expected that Chinese carmakers will occupy several seats among the top 10 carmakers in terms of global sales in 2030, according to Mingyu Guan, a managing partner at McKinsey & Company.

 
on February 23, 2023, Luxury electric vehicle maker Lotus Tech completed a merger with SPAC L Catterton Asia Acquisition Corp, completing an $880 million financing through a public equity private investment (PIPE) conversion bond, and listing on the NASDAQ in the U.S. under the ticker symbol "LOT". On the first day of listing, Lotus' intraday share price once surged to $17.99, closing at $13.8, up 2.15%, with a total market capitalization of up to $9.294 billion (about RMB 66.874 billion), much higher than the previous valuation of $5.4 billion. The Lotus IPO is not only the largest financing obtained by way of SPAC listing so far in 2023, but also the largest IPO of Chinese stocks in the past 32 months.

 

Lotus, which was acquired by China's Geely Group in 2017, is a world-famous sports car and racing car manufacturer, and as a veteran British luxury sports car company, it is known as one of the world's top three supercar brands along with Ferrari and Porsche.

Its core technology is their proud aerodynamics, lightweight and chassis tuning "champion three-piece suit". And with almost every major car manufacturer from around the world, have carried out a variety of projects. According to some authoritative experts, more than 60% of the world's automobile manufacturers have applied the technology from Roadster to varying degrees.

 
Under the wave of transformation of the automobile industry, many domestic new energy vehicle enterprises have announced the discontinuation of production. Although the industry is in a downturn, but the industry and capital will not hesitate to wait and see, the capital will just be more cautious, the future has a healthy and sustainable business model of the enterprise to open the door, in the logic of the capital, the rationality of business, innovation is the core value and investment focus. In the logic of capital, business rationality and innovation are the core value and focus of investment. According to the law and direction of the economy, the more depressed the environment is, the easier it is for enterprises to rebound. The successful listing of Louts has undoubtedly inspired the confidence of many other companies that are preparing to go public in the U.S. to a certain extent.

With no one to lead the way, no established rules, and no one to follow, Louts was able to sprint toward its clear goal with unwavering conviction, and eventually went public. This is further proof that the market will not let down the efforts of a brand with real commercial value. The fact that Louts was finally able to land on the NASDAQ through the SPAC model was, of course, also due to its own professional listing consultant think tank, which helped it to quickly raise large-scale capital and successfully go public.

The reason why Louts went to such great lengths to go public was to obtain a large amount of investment, which in turn would help the brand realize its vision of becoming a leader in the electric vehicle market. Louts CEO Feng Qingfeng believes that it is more important to feel the user's "heartbeat" than to listen to the engine's roar. We expect other Chinese companies to take the "heartbeat of the user" as their starting point, polish their strong competitive advantages, and eventually grow into a company with long-term investment value, knocking on the door of capital!