There is no suspense at the end of this August, Selis Motor shares in the “attraction” boots finally fell to the ground.
According to the official announcement the two sides signed the contract on August 23 three days ago in Shenzhen.
Zhang Xinghai, chairman (founder) of Selis Group, he Liyang, president of Selis, Xu Zhijun, rotating chairman of Huawei, Yu Chengdong, managing director of Huawei, chairman of Terminal BG and chairman of smart car solution BU, all attended the signing ceremony.
Cyrus will pay cash for Huawei’s 10 per cent stake in Shenzhen Wangwang Intelligent Technology Co., Ltd., with a transaction value of 11.
5 billion yuan.
The announcement also said that “look forward” from January to June this year operating income of 10.
435 billion yuan, net profit of 2.
231 billion yuan, “combined with financial data and future business prospects, the acquisition of minority stakes in the underlying company is expected to have a positive impact on the investment income of listed companies.
” It is worth mentioning that Cyrus turned its losses into profits in the first half of the year a full year and a half earlier than expected at the beginning of last year.
On the day of the announcement of the purchase of shares on August 25, Selis released its semi-annual report for 2024.
According to the data, its semi-annual operating income reached 65.
044 billion yuan, an increase of 489.
58% over the same period last year, and the net profit attributed to shareholders of listed companies was 1.
625 billion yuan.
By contrast, in the first half of 2023, Selis’s profit was still-1.
344 billion yuan, the difference is not small.
From the evening of the 19th, Changan Automobile announced the news of Avita’s stake, to the 25th Cyrus announced that it would buy 10% of the shares of “lookout” with 11.
5 billion in cash.
The operation of Huawei’s stripping car BU has obviously completed the first stage, and the value of the “look” brand has been initially established in the domestic automobile industry.
Which is the strongest shareholder of car BU? In terms of car brands alone which autonomous intelligent car is the strongest? The author has every reason to believe that Avita and the question world will be the two names with the highest proportion.
The AITO question brand of Cyrus is based on Huawei’s smart car model, and it goes without saying that it has been “all-taken” by Cyrus AITO, while the Avita created by Changan Automobile through a joint venture with Huawei and Ningde Times is also recognized by the industry in terms of intelligent cockpit and intelligent driving.
The difference is that Avita previously introduced Huawei technology through the HI model (Huawei Inside), in which Huawei empowers the brand through its own technology to provide full-stack intelligent driving solutions for single or multiple systems.
On the other hand, the smart car model adopted by the brand is that Huawei and the mainframe factory jointly carry out product function definition and ID design, then to software and hardware development, sales channels, brand marketing and so on, and finally use their own offline channels to help sales, that is, to build the whole value chain.
Avita is a successful example of Huawei Inside.
The advantages and disadvantages of the above two models have been going on offline, but only one thing is certain-Avita, the most active brand of HI model, and Cyrus, the most successful partner of smart car model, have been included in this system successively.
This is undoubtedly an affirmation from Huawei.
In addition, according to the internal information recently obtained by the commune, Changan Automobile has agreed with Huawei to retain the priority of acquiring another 10% of the shares while holding 10% of the shares through Avita.
Given the valuation of the entire brand and the basic argument that Huawei will own 60% of its own shares, Huawei seems to know how to rank its partners.
In fact, HI mode can also be “upgraded”.
On the bright night of Avita, Zhu Huarong, chairman of Changan Automobile and Avita Technology, said that Avita became the first company to take a stake in Huawei, the “HI” model was further upgraded to the new “HI Plus” model, and the optimal resources of CHN would enable Avita to develop by leaps and bounds and make every effort to build a new luxury Avita to compete in the world.
Although there are no more specific details yet we have reason to believe that this may be a Huawei Inside moving closer to the smart car model.
Under HI PLUS, Huawei will be more deeply involved in the design and production of vehicles, making automotive products more intelligent.
Turning to the issue of equity allocation proportion, in the article on the 21st, we have briefly discussed the issue of Changan (Avita) buying a stake in “attraction”.
And sighed that the 10% shareholding ratio is not too low compared with the description of “Changan Automobile and its related parties intend to contribute no more than 40% to acquire equity in the target company,” in the Changan Automobile Investment Cooperation Memorandum in November last year.
However, if we analyze the whole strategy of Huawei spin-off car BU, it is abnormal for a partner to have a 40% stake.
After all, according to the relevant provisions of China’s Company Law, shareholders who hold 34 per cent of the shares can exercise the right of veto in some major enterprise matters that require more than 2/3 of the majority to vote.
The style of “making decisions quickly and acting decisively” is very different from that of ordinary state-owned enterprises.
This should be the highest praise given to Changan Automobile by Huawei’s grass-roots staff.
Admittedly, Huawei attaches great importance to Changan Automobile as a partner.
The author once heard a friend of Huawei praise the cooperation project with Changan Automobile, saying that although it is a “state-owned enterprise”, it is “quick in decision-making and decisive in action”.
There are not many state-owned enterprises that have “too many worries about making achievements but afraid of taking risks,” so they are generally regarded as powerful allies who can achieve great things.
However, the success of “attraction” is, after all, related to Huawei’s life-and-death core profits in this special period.
Therefore, it is obviously its unshakable core interest to ensure that it has absolute dominance.
40% is too much and 10% is too little, so in this context, retaining the preemptive right of the other 10% will obviously be the best option that both Huawei and Changan can accept or even welcome.
But this is bound to touch on another key issue-it was widely believed that Huawei would sell up to 40 per cent of its equity to auto partners after divesting the car BU.
And now Avita + Cyrus has been allocated 20%, including the 10% of Changan car priority, the reality is that Huawei is willing to share the cake with its partners.
Four, go to three.
After the carve-up of Changan Automobile / Avita and Cyrus, only 10% of the shares are available for transfer, so the last 10% will be spent on Chery, BAIC or Jianghuai, as well as which of FAW, Dongfeng, etc.
, which have heard the news before? In other words, the final 10% of the equity will no longer be subscribed at an integer of 10%, and can be subdivided by each family? Even Huawei is willing to further reduce its shareholding by wooing one or more of its most important partners to ensure control of the attraction, as few have speculated before.
However the reality is far more wonderful than wild conjecture.
Just like a week ago, no one could have thought that Changan would have a “later move”.
Therefore, all of us can calm down and continue to observe the matter of “attracting”.
After all, behind such an important issue, there must be very intensive internal communication, and very often we can’t draw the whole picture by guessing.
The real value of “Tingwang” lies in that, in fact, this large subscription of the shares of “Tingwang” by car companies can also be seen as a big distribution of automobile intelligence-related technology mastered by Huawei by traditional domestic car companies.
As Huawei has meat to eat, the meaning of this sentence can be understood by Cyrus, whether it is the extreme Fox, which has been called for cooperation since the beginning of 2021, or the Avita established in conjunction with Changan Automobile, Ningde era, etc.
, or Dongfeng and FAW, which have gradually expanded their cooperation since the beginning of this year, these partners of Huawei all have a common label-traditional car companies.
This means that although these companies have their own expertise in automobile design and manufacturing, they are not good at intelligent vehicles.
Of course, there are also traditional car companies that have developed a good intelligent cockpit system through cooperation with partners in the field of ICT.
But when it comes to smart driving, it is a little reluctant.
At present, self-driving technology based on deep learning generally needs a large number of real data accumulated by car owners, continuous feeding and training in order to gradually realize the function of the algorithm.
In short, the Matthew effect in this field has already started.
The more popular automotive products are and have good sales, the more their manufacturers can accumulate data, constantly iterate their algorithms, and constantly develop and improve their smart driving functions.
In fact, according to the current “after the event Zhuge Liang”, once we miss the critical window period from 2018 to 2021, the latecomers in this track will inevitably face the dilemma of “chicken or egg first”-car companies that have occupied the mainstream market position have already accumulated huge amounts of data and promoted their algorithms to become more and more mature.
This, in turn, will stimulate prospective car owners to regard the products of relevant car companies as the main choice when buying or replacing vehicles.
Yes, we are actually talking about Tesla.
If your smart driving system is not mature, then why should consumers who value this point buy your car? On the other hand, if a car product of the mainframe factory with high-level intelligent driving function as the selling point can not be sold, where is the data to help its own algorithm become more and more mature? For example, the ideal of lagging behind in smart driving technology, which was originally recognized by the industry, has made significant progress after updating version 6.0. This is at least in part due to the rich accumulation of data brought about by its sales.
Similarly, although Xiaomi car is controversial, it is so hot that it can be seen as the last ticket for the new car-building power to a large extent.
After all, the strong will get stronger and the weak will never rise-to some extent, the smart driving industry has revealed such a dark future.
And the value of Huawei’s BU or “attraction” lies in this.
As mentioned earlier, whether Avita uses the HI model or Selis’s smart car model, the great advantage of these two brands in smart driving is the result of full mutual trust and active cooperation between Changan Automobile and Selis and Huawei.
In the current situation, Chinese car companies have no choice but to move forward.
Only based on the above full mutual trust and sincere spirit of cooperation can our traditional car companies hope to achieve anti-overtaking on the intelligent track, in this intelligent era of the second half of new energy vehicles, to challenge overseas brands that already have a strong first-mover advantage! , return to the first electric network home page >.
