The automotive circle is abuzz with yet another round of imaginative speculation.

On August 17, an investor posed a daring question on an interactive platform: Does BYD have any plans to acquire SAIC Motor? The investor speculated that such a move could potentially propel BYD to become the world's largest automotive group.

In response, BYD issued an official statement, saying: "The growth of China's automotive industry hinges on the collective efforts of all industry peers. We hold all our industry partners in high regard and are eager to collaborate in promoting Chinese automobiles globally."

While BYD did not outright dismiss the acquisition rumors, its statement leaned towards fostering industry coexistence rather than signaling any merger and acquisition (M&A) intentions.

It's worth noting that many BYD investors are known for their bold and outspoken ideas. Rumors about BYD acquiring its peers resurface periodically in the market, becoming a staple topic in stock forums and interactive platforms.

However, from a practical perspective, the likelihood of BYD acquiring SAIC Motor is exceedingly slim. SAIC Motor is a well-established automotive conglomerate in China with a state-owned enterprise background, making it a far more complex entity than a simple target for capital acquisition. Numerous objective obstacles stand in the way.

Interestingly, netizens in the comment section took the speculation to new heights, conjuring up a plethora of fantastical acquisition scenarios. Apart from the highly discussed Xiaomi Auto, many netizens also mentioned NIO, Li Auto, and XPeng, with some even jokingly suggesting the acquisition of 'Bamboo Cicadas.' Each netizen had their own rationale and diverse reasons.

Image Source: Hu Dayang Talks Cars @ WeChat Official Account

Those bullish on NIO argue that its mature battery swap network and high-end user service system could complement BYD's shortcomings in premium branding. Netizens favorable towards Li Auto believe its range-extended products and family-user positioning are worth incorporating. Those betting on XPeng value its accumulated technological expertise in intelligent driving. As for the jokingly proposed acquisition of 'Bamboo Cicadas,' it's mostly just netizens' playful banter.

Among these, Xiaomi Auto remains the hottest topic of discussion. Many netizens envision a scenario where BYD, with its solid sales foundation, could benefit from Lei Jun's team's better understanding of the market in terms of vehicle design and aesthetic appeal. Conversely, they argue that Xiaomi Auto's car-making business is dragging down the group's overall profits. Some netizens suggest that Wang Chuanfu and Lei Jun should sit down and discuss a stock swap merger.

The envisioned scenario is as follows: Xiaomi Auto merges into BYD, with BYD gaining Lei Jun's stronger product design and brand marketing capabilities to further expand sales. Xiaomi retains some of BYD's shares, no longer bearing the heavy asset investment in car-making, with the value of its shares also expected to rise further, benefiting both sides.

Image Source: Xiaomi Auto Official Website

Of course, all of the above are merely the beautiful aspirations of netizens, with no relevant contact signals released by any of the companies involved.

Putting aside these fantastical capital speculations, BYD's more pressing challenge currently lies in delivery.

Recently, many netizens have left comments under the social media accounts of Lu Tian, General Manager of the Dynasty Network, Zhang Zhuo, General Manager of the Ocean Network, and Xiong Tianbo, General Manager of Fang Cheng Bao, urging them to expedite vehicle deliveries. Several already released models are facing high pressure in queued deliveries, with new models continuing to be launched frequently.

Many industry observers suggest that instead of inquiring about grand acquisition dramas, investors should focus on tangible production capacity issues. For example, the ramp-up of second-generation blade battery production capacity and accelerating deliveries of existing models are more worthy of attention at this stage.

China's new energy vehicle industry is in a phase of rapid expansion, with the market never short of imaginative capital stories. However, M&A integration is never a simple matter of 1+1. Whether it's acquiring SAIC, the rumored merger with Xiaomi Auto, NIO, Li Auto, and XPeng, or the jokingly proposed acquisition of 'Bamboo Cicadas,' all currently remain in the realm of netizens' imagination. The industry's true focus remains on tangible competition in production capacity, delivery, and product strength.

Interactive Topic: What are your thoughts on the various acquisition suggestions circulating online? Do you think BYD will pursue a large-scale M&A route in the future? Welcome to share your thoughts in the comment section.

Disclaimer: This article is solely for financial commentary by Zhi Caijing and does not constitute any investment advice. The enterprise data and regulatory events mentioned herein are sourced from public information and are for reference only, with the official releases prevailing. Images are sourced from the internet; if there are copyright issues, please contact for removal.

Give a 'Like,' 'Share,' and 'Heart' all at once!

Welcome to leave your thoughts in the comment section!

Daily Insights into Intelligent Technology and Finance