Emerging car manufacturers don't have to be solely dependent on heavy-asset business models. By harnessing existing high-quality resources and adopting a relatively asset-light strategy, there remains a viable path to forge world-class brands.

Original content by AutoPix (ID: autopix)

On November 27, 2025, Avita Technology formally submitted its IPO application to the Hong Kong Stock Exchange, marking a milestone as the first central state-owned new energy vehicle (NEV) company to pursue a listing in Hong Kong.

Why has Avita chosen this moment to initiate its IPO journey?

From the company's standpoint, Avita has set ambitious targets: achieving global sales of 400,000 units and annual revenue of 100 billion yuan by 2027. By 2030, it aims to boost global annual sales to 800,000 units, with a stretch goal of 1.5 million units by 2035. Filing for an IPO to raise capital will provide more robust financial backing for the brand's next strategic phase.

However, the current capital market is no longer a welcoming arena for new automotive entrants. Can Avita still captivate investors by knocking on the Hong Kong Stock Exchange's door at this juncture?

01.

Central State-Owned Enterprises' New Energy Story

Since the first wave of new car manufacturers went public, investors have become more discerning in their criteria for NEV companies.

They now demand not only growth potential but also strong technological prowess in emerging areas, particularly intelligence, alongside a trend towards stable financial performance in listed entities.

Transitioning from 'frenzied pursuit' to 'rational competition,' Avita's Hong Kong IPO application represents a fresh narrative for Chinese NEV companies.

Avita's uniqueness stems from its aggregation of resources from Changan Automobile, Huawei, and CATL. These three entities collectively offer three core advantages for China's NEV industry in global competition.

Changan brings robust vehicle engineering capabilities and resources as a central state-owned enterprise. Huawei provides cutting-edge intelligent technologies, representing the future core competitiveness of China's NEV sector. CATL symbolizes optimal cost and technology in the battery domain, serving as the current competitive moat for China's NEV industry.

In essence, while many of the first batch of listed new car manufacturers emphasized heavy investment and full self-research, Avita adopts a more 'asset-light' model. It doesn't overly pursue vertical integration but instead collaborates with China's strongest NEV sector resources to manufacture vehicles.

The tripartite cooperation model is succinctly referred to as 'CHN.' Avita has now completed a 'three-year, four-model' product lineup, successively launching the Avita 11, 12, 07, and 06 models. It has also introduced the Avita 11 and Avita 12 Royal Theater Editions, as well as the Avita 011 and Avita 012, two limited-edition co-branded models from the 0 series, covering a price range of 200,000 to 700,000 yuan. In October 2025, Avita sold 13,500 units, a record high, and has maintained over 10,000 units in sales for eight consecutive months.

These accomplishments underscore the success of Avita's car manufacturing model. The next step is to scale up operations. To support future objectives, Avita will gradually enhance its product lineup, launching multiple models priced above 300,000 yuan. It plans to introduce a total of 17 models by 2030, spanning segments such as sedans, SUVs, and MPVs.

According to the prospectus, Avita's raised funds will be allocated to product and platform technology development, brand building, and sales and service network expansion. These investments are pivotal for Avita's future strategy.

02.

Technological Flourishing

Forging an Intelligent Competitive Edge

Secondary market investors now exhibit less tolerance towards new car manufacturers. From the perspectives of growth and intelligence, Avita's technological DNA stands out as its most compelling attribute.

Technologies such as Huawei's Qiankun ADS 4, HarmonyOS Cockpit, Taihang Intelligent Control Chassis, and Kunlun Smart Range Extender are all fruits of collaboration between Huawei and Avita, forming the technological bedrock for Avita's next phase.

By October 2025, Avita had paid Huawei a cumulative total of 11.5 billion yuan, completing its investment for a 10% stake in Huawei's AITO Auto, becoming its second-largest shareholder, and jointly propelling the company's future development alongside Huawei.

This robust relationship of 'technological symbiosis + capital prosperity' ensures long-term stability in cooperation. Moving forward, Avita will continue to strengthen its strategic partnership with Huawei and CATL. In 2026, it will unveil four models co-created with Huawei.

Avita's collaboration with Huawei has evolved from pure technological empowerment to co-creation in areas such as user insights, product definition, product development, integrated marketing, and team building.

A compelling data point is the preference shown by Huawei employees. As of November 2025, Avita has delivered over 4,000 vehicles to Huawei employees. Within two months, it received over 1,000 new orders from Huawei employees.

Avita's cooperation with CATL is evident in its full lineup equipped with CATL batteries, including Shenxing Super Fast Charging Batteries and Xiaoyao Super Range-Extended Hybrid Batteries.

For NEVs, batteries are akin to the 'engine' in fuel vehicles. With CATL, Avita can ensure it always has access to top-tier resources. If battery technology continues to advance in the future, Avita will remain among the first car brands to benefit.

03.

Capital Momentum Reshapes Global Competitiveness

The capital market has become increasingly selective towards NEVs, yet Avita's valuation has been steadily climbing over the past few years.

In 2024, following its Series C funding round, Avita's valuation surpassed 30 billion yuan, marking a roughly 50% increase from its nearly 20 billion yuan valuation during the Series B funding round in August 2023.

A significant factor contributing to this is Avita's demonstrated clear improvement and growth trajectory in financial stability.

From 2023 to 2024, Avita's operating revenue was 5.645 billion yuan and 15.195 billion yuan, respectively, representing a year-on-year increase of 169.16%. In the first half of 2025, its revenue exceeded 12.208 billion yuan, a year-on-year increase of 98.52%. This doubling growth has bolstered Avita's rising valuation in the capital market.

In 2024, Avita officially embarked on its global expansion, entering 34 countries and regions. From Thailand to the United Arab Emirates, from Singapore to Qatar, it has also garnered the favor of the King of Bhutan and the Qatari royal family.

This is merely the beginning. In September of this year, Avita unveiled its Strategy 2.0, outlining its future blueprint. By 2030, it plans to penetrate over 80 countries and establish over 700 channels. This ambitious vision necessitates substantial financial backing.

The Hong Kong stock market, closely intertwined with the international capital market, offers not only funds but also global resources, opening up avenues for Avita's internationalization. Transitioning from a 'Chinese brand' to a 'global brand,' the move to list in Hong Kong represents a crucial watershed.

If we broaden our perspective, Avita's model attempts to explore the possibility that new car manufacturers don't have to rely solely on heavy-asset models. By integrating existing high-quality resources and adopting a relatively asset-light strategy, there remains a viable path to forge world-class brands.

This path may offer inspiration for more Chinese car companies.

This article is original content from AutoPix (autopix). Unauthorized reproduction is prohibited.