Recently, various media outlets have reported that a burgeoning automaker and an established automotive giant are poised for a significant "revival".

WM Motor anticipates resuming production in September and launching an IPO in 2027.

According to Mingjing Pro, on July 14, a former WM Motor employee circulated a white paper from "New WM Motor" among suppliers. The white paper highlights that the investor in New WM Motor, Shenzhen Xiangfei Automobile Sales Company (hereinafter referred to as 'Xiangfei'), has detailed WM Motor's production resumption plan and future development strategy.

It is reported that Xiangfei stated in the white paper that, following the reorganization plan approved by the court on April 3, 2025, Xiangfei has taken over four WM Motor companies and is fully committed to facilitating the swift resumption of mass production of the WM EX5 and E5 models at the Wenzhou facility.

The report outlines that 'New WM Motor' has devised a three-phase business development plan for 2025-2030. The revival phase (2025-2026) includes resuming production of the EX5/E.5 models in September 2025, aiming for annual production and sales of 10,000 units, with aspirations to reach 20,000 units; concurrently, establishing a KD factory in Thailand for overseas expansion and exploring markets in Southeast Asia and the Middle East, with plans to mass produce 100,000 units in 2026.

The development phase (2027-2028) commences in 2027, where New WM Motor intends to achieve a significant leap in annual sales to 250,000-400,000 units, while also initiating preparations for an IPO during this period.

The leapfrog phase (2029-2030) starts from 2029, with ambitious plans to challenge a production volume of 1 million units and revenue of 120 billion yuan by 2030.

The source of WM Motor's confidence in this 'revival' stems from Xiangfei's assurance that governments in Shanghai, Wenzhou, and other regions will offer robust support, encompassing subsidies for production resumption, technological upgrades to production lines, product research and development, and market promotion. Xiangfei asserts that 'New WM Motor' holds a promising future in collaborative endeavors.

Regarding Xiangfei's background, through equity penetration, it was discovered that the legal representative of Xiangfei is not only the actual controller of a subsidiary of Baoneng Automobile, but its related parties also hold equity in Baoneng-affiliated enterprises. This suggests that the previous rumor of Baoneng Automobile acquiring WM Motor might indeed be true. However, given Baoneng's current debt burden of billions, questions arise as to how it plans to finance WM Motor's revival.

Many former WM Motor employees reportedly harbor doubts about this development.

Yema Auto Embarks on Another 'Revival'

According to Qichacha, from July 14 to 15, Yema Auto established four new companies, including a wholly-owned subsidiary and three joint ventures with Barton Motors, signaling a potential resurgence for Yema Auto.

Among these, Yema Auto and Barton Motors jointly established three joint ventures: Yema Barton (Sichuan) Automobile Technology Co., Ltd., Yema Barton (Sichuan) Special Vehicle Manufacturing Co., Ltd., and Yema Barton Heavy Duty Automobile (Sichuan) Co., Ltd. All three companies have business scopes that encompass the sales of new energy vehicles and the manufacturing of automotive parts and accessories.

Shareholder information indicates that these three companies are jointly held by Sichuan Yema Automobile Co., Ltd. and Beijing Automobile Manufacturing Plant (Chengdu) Co., Ltd., a subsidiary of Barton New Energy Automobile Company, with shareholding ratios of 51% and 49%, respectively.

Barton Motors, founded in 2010, is an off-road vehicle brand under the American USSV company. Designed specifically for the Asian market, the brand focuses on super off-road models and officially entered the Chinese market in 2017.

Yema Auto traces its roots back to Sichuan Automobile Industry Group Co., Ltd., established in 1988. Early light off-road vehicles, such as the 'Yema' and 'Bailu' brands, enjoyed nationwide popularity. During its heyday, Yema Auto ranked second in the country for off-road vehicle production and sales.

However, this golden era was fleeting. In 2001, Sichuan Automobile was returned to Chengdu by the Sichuan Provincial Government, and in 2002, it was acquired by the Fulin Group. Subsequently, Yema Auto attempted to launch new vehicles but faced setbacks, even resorting to imitation by introducing multiple copycat models.

Additionally, Yema Auto obtained production qualifications for new energy passenger vehicles as early as 2012 and launched its first-generation electric vehicle model, the Yema E70, in 2015, yet it failed to make a significant impact.

With traditional models losing competitiveness and the new energy vehicle industry met with a lukewarm response, Yema Auto gradually found itself on the brink of bankruptcy due to debt issues.

In January 2019, Leiding Automobile acquired Yema for 1.45 billion yuan. However, at the time of the acquisition, Yema already had debts of 3.8 billion yuan, and the industrial land of the Yema Mianyang base was mortgaged twice in 2015 and 2020. Ultimately, Leiding Automobile could not withstand the financial pressure and declared bankruptcy in 2023 due to a broken capital chain, marking the failure of Yema Auto's first 'revival' attempt.