As major economies accelerate their push towards a new energy mobility future, companies outside of the automotive industry are now trying to get a piece of that future by forging new partnerships. One of those companies is Evergrande Group's subsidiary, Evergrande Health Industry Group, which announced that it had partnered with Germany's Hofer Powertrain to establish a new joint venture company in Germany.
The Hong Kong-listed Chinese firm revealed on Wednesday that it has signed an agreement with Hofer Powertrain to establish a new joint venture company aimed at developing powertrain core technologies. Under the agreement, Evergrande Health will be holding a 67 percent stake in the newly formed company, while Hofer will hold 33 percent.
The partnership will mainly be utilizing the Hofer Powertrain's technologies, particularly in the research and development, design, and manufacturing of integrated powertrains. To bolster its efforts, the partnership will also establish an advanced research and development facility that will be based in China.
In a statement released by both firms, the companies revealed that the alliance should allow both companies to establish themselves as technology providers for future integrated electric powertrain technologies. This will apparently give them a big advantage over competitors in the global push for renewable mobility.
The partnership with Germany's Hofer Powertrain is Evergrande's latest push to get into the new energy vehicle sector. This year, the company has formed five separate partnerships, which were all aimed at propelling its forward as a formidable force in the particular sector.
The partnerships Evergrande has formed apparently extend to the entire industry chain for electric vehicles. In January, Evergrande purchased a 51 controlling stake in Sweden's NEVS, an electric vehicle company that is developing so-called intelligent automobiles. The purchase reportedly cost the company around $930 million.
During the same month, Evergrande's subsidiary Evergrande New Energy Power Technology bought a 58.07 percent controlling stake in Shanghai CENAT New Energy Co Ltd, a company that specializes in ternary pouch-type batteries. A few days after the CENAT deal, Evergrande announced that it bought a major stake in Koenigsegg, a luxury supercar manufacturer based in Sweden.
In March, Evergrande made two other major purchases. The company purchased a 70 percent stake in TeT Drive Technology Co, a Dutch company involved in the development of in-wheel motor technologies. By the end of the month, the company then announced that it had acquired UK-based company Protean Holdings Corp, another in-wheel motor manufacturer that supplies companies such as Ford and Daimler.
In its website, Evergrande boldly proclaims that it is aiming to be the largest and strongest new energy vehicle group in the world in 3 to 5 years time. One of the reasons for its mission is to contribute to China's transformation as a powerful force in the budding industry.
