Uxin said Friday it entered into definitive share subscription agreements with affiliates of Nio Capital and Prestige Shine Group Limited for an aggregate investment of $50 million.
Founded in 2011 and listed in the US in June 2018, Uxin expanded into the used new energy vehicle business exactly four years ago. The company began offering models including the Nio ES8, the EV maker’s first mass-produced vehicle.
Under the agreements, the Chinese used car retailer will issue and sell 5.25 billion Class A ordinary shares at $0.00953 per share, equivalent to $2.859 per American depositary share.
Nio Capital affiliates will invest $20 million, with Prestige Shine committing $30 million.
“We are delighted to receive continued support from the Investors,” founder, chairman and CEO Kun Dai said. “Their follow-on investment underscores our long-term investors’ strong recognition and confidence in the Company’s strategic direction, business model, and operational progress.”
Dai said the proceeds are expected to provide sufficient capital to support the launch of four to six new superstores in 2026 while strengthening the company’s balance sheet.
“Looking ahead, we will continue to execute our established strategy, steadily expanding our operations and further strengthening our position in China’s used car retail market,” Dai said. “We remain committed to delivering long-term value for our shareholders.”
Third Quarter Results
Uxin reported an operating loss of 36.5 million yuan ($5.1 million) for the three months ended September 30, compared with 43.1 million yuan in the prior quarter and 38.6 million yuan a year earlier.
Transaction volume reached 15,904 units in the quarter, up 37% from 11,606 units in the prior quarter and up 126% from 7,046 units a year earlier.
Nio Capital’s Expanding Portfolio
Nio Capital, the investment fund co-founded by Nio CEO William Li, has increasingly expanded beyond its traditional electric vehicle supply chain investments into artificial intelligence and robotics.
In November, Nio Capital and Alibaba Group Holding Ltd. led a funding round for embodied intelligence robotics startup Dexmal, as reported by EV.
The two rounds brought Dexmal’s total funding to nearly 1 billion yuan ($138 million).
Since 2016, Nio Capital has raised five funds — three denominated in US dollars and two in yuan — with approximately 15 billion yuan under management, according to the fund.
The portfolio includes battery makers Contemporary Amperex Technology Co. Ltd. and China Aviation Lithium Battery Co., LiDAR maker Seyond, autonomous driving startup Momenta, and robotaxi company Pony.AI.
Nio Capital also holds a stake in US suspension startup ClearMotion, which supplies Nio’s flagship ET9 sedan, and has invested in component suppliers for the L90 SUV launched in July under Nio‘s mass-market Onvo sub-brand.
The fund has separately moved into automotive chips, investing in Xinxin Hangtu Technology, a startup that designs automotive semiconductors.
