Avita Tech Re-files for HK IPO: Deepening Huawei Partnership, Advancing Dual-Power Strategy and Global Expansion

On July 1, 2025, Avatr Technology submitted its second initial public offering (IPO) application to the Hong Kong Stock Exchange. Compared to the 609-page prospectus filed in November 2024, the new filing has been significantly streamlined to just 43 pages. Notably, the term “Huawei” appears 66 times—up from 49—highlighting a further deepening of the partnership between the two companies. Avatr has invested RMB 11.5 billion to acquire a 10% stake in Yinwang Intelligent Technology Co., Ltd. (“Yinwang”), elevating their relationship from a technology supplier arrangement to a deeper capital-level alliance. Going forward, Yinwang will provide core solutions including intelligent driving and smart cockpit systems, while Avatr will lead vehicle development and integration. In terms of product strategy, Avatr has formally established both battery-electric and extended-range electric powertrains as its long-term dual-path approach. All four of its current models now offer both powertrain options simultaneously. The company is also accelerating its global expansion, having entered 43 countries and regions with 95 sales and service outlets already established, and plans to open more than 30 additional overseas stores. Financial data shows that in 2025, Avatr delivered 122,700 vehicles, generating revenue of RMB 25.631 billion. Its gross margin improved to 9.4%, while net losses narrowed year-over-year to RMB 3.489 billion. As of the end of 2025, the company held cash reserves of RMB 9.69 billion and reported positive operating cash flow for two consecutive years. However, net current liabilities stood at RMB 8.28 billion, indicating continued reliance on external financing to support R&D and channel expansion. The updated prospectus also expands its risk disclosures, covering intensified industry price competition, heightened uncertainties in overseas operations, and growing dependence on Yinwang’s technologies.