Chinese electric-car startup Byton secures $500M in new funding round

Chinese electric-car startup Byton secures $500M in new funding round

In a Monday announcement, Chinese electric-car startup Byton has revealed that it has secured $500 million in a Series B funding round. The new funding round will apparently enable Byton to achieve its target of launching a production electric car in 2019.

According to the announcement, the new funding raised by Byton has mainly come from China-based investors, some of them with technical and vehicle-manufacturing experience.

Specifically, the funds were raised by Byton’s big investors, including Chinese state-owned automaker FAW Group -- the startup’s largest single investor -- as well as Chinese lithium-ion battery developer CATL and Chinese tech-investor Tus-Holdings.

With regard to the $500 million funding secured by Byton, the startup’s CEO Dr. Carsten Breitfeld told The Drive that an amount of nearly $250 million has been contributed by FAW Group, which is one of China’s fast-growing domestic automakers. Breitfeld said that FAW could provide relevant production expertise to Byton; and added that another investor, CATL, will provide batteries to Byton for the manufacture of its electric cars.

Byton is initially planning to sell its electric cars in China, though it will also, later, foray into the US and Europe markets. The startup is hopeful of delivering its electric cars to Chinese customers by the end of 2019; with its US launch scheduled for mid-2020, and its Europe launch expected later in 2020.