Avita Resubmits Hong Kong IPO Application, Deepens Huawei Yinwang Partnership and Advances New Model Plans

On June 30, 2026, Avatr Technology refiled its prospectus with the Hong Kong Stock Exchange, seeking a listing in Hong Kong. Its initial prospectus had lapsed on May 27, 2026, as the company failed to complete its listing process within the six-month validity period. The company stated that this lapse was a routine procedural step in the IPO process and that its overall listing timeline remained unaffected. Founded in July 2018 as Changan-NIO New Energy Vehicle Technology Co., Ltd., Avatr has completed six rounds of financing to date, raising nearly RMB 20 billion in total. Its major shareholders include China Changan Automobile Group and Contemporary Amperex Technology Co. Limited (CATL). Although Huawei does not hold a direct equity stake, it has long provided Avatr with technical support in intelligent driving and smart cockpit systems and plays a pivotal role in Avatr’s premium brand strategy. According to the latest prospectus, Avatr’s revenues for 2023, 2024, and 2025 were RMB 5.645 billion, RMB 15.195 billion, and RMB 25.631 billion, respectively—marking three consecutive years of growth—though the company remains unprofitable. In 2025, its gross margin improved to 9.4%, and operating cash flow reached RMB 2.315 billion. That same year, Avatr made a strategic investment of RMB 11.5 billion in Huawei’s subsidiary Yinwang Intelligent Technology Co., Ltd., acquiring a 10% stake and recognizing RMB 182 million in its share of the associate company’s profit for the year. The new 438-page prospectus mentions “Huawei” 66 times and “Yinwang” 77 times—a significant increase compared to the initial version. Yinwang has now been classified as an associate company of Avatr. Avatr plans to launch new vehicle models in the fourth quarter of 2026 and throughout 2027 under a co-creation model with Yinwang. Avatr currently offers four models on the market, all priced above RMB 200,000. In 2025, it delivered 122,700 vehicles, a year-over-year increase of approximately 99.2%. However, in the first half of 2026, cumulative deliveries totaled only 27,600 units, down 53.2% year-over-year. During the same period, several competitors each surpassed 300,000 deliveries. Amid intensifying market competition, Avatr is advancing internal resource integration. In April 2026, Changan Automobile announced a strategic synergy between Avatr and its Deepal brand under the principle of “front-end independence and mid-to-back-end collaboration,” aimed at enhancing efficiency in R&D, supply chain, manufacturing, and overseas expansion while maintaining independent brand operations. China’s new energy vehicle (NEV) market has entered a phase of stock competition, with rising industry concentration. From January to May 2026, passenger vehicle retail sales declined by 19.5% year-over-year. Capital markets have also shifted their valuation logic for NEV companies, now favoring those with scale, profitability, or global capabilities. Dongfeng Motor’s premium EV brand Voyah, also backed by a central state-owned enterprise, listed on the Hong Kong Stock Exchange in March 2026 and delivered 76,000 vehicles in the first half of the year. During the same period, Aion (including Hyper), Arcfox, and IM Motors reported sales exceeding 170,000, 80,000, and 40,000 units, respectively. Proceeds from Avatr’s Hong Kong IPO will be allocated toward product development, platform and technology R&D, brand building, expansion of sales and service networks, and general working capital.