Why does Evergrande rebuild "Tesla"?

 Xu Jiayin, chairman of the board of directors of Evergrande, seems to have never lost in the "face-to-face" matter.

After six new cars were released in one go two months ago, the motors of Evergrande Motor rang soon after.

According to market news on October 20, Evergrande Motors has signed a listing counseling agreement with Haitong Securities recently , officially launching its listing process on the Science and Technology Innovation Board.

According to official sources, Evergrande Automobile will achieve mass production in the second half of 2021.

This means that, before mass production is about a year away, Evergrande has already begun to "sell stories" in the capital market.

1 "Hengda Speed" Automobile

"When making a decision, it is impossible to fall asleep at night, just think about getting up to make a car tomorrow morning." Xu Jiayin told the media at a press conference in March 2019.

Some people remember that at the same time in 2018, when Xu Jiayin announced that he would enter the high-tech industry, a reporter asked him what he wanted to do? His answer at the time was: "I haven't thought about it yet."

But three months later, Evergrande Health , a subsidiary of Evergrande, officially announced its investment in FaradayFuture (hereinafter referred to as "FF"). However, this cooperation was announced at the end of 2018 after the two sides ended various entanglements.

Immediately after January 15, 2019, less than two months after "breaking up" with FF, Evergrande Health announced that it had successfully acquired 51% of the electric vehicle company NEVS (National Energy) for US$930 million and obtained a majority of board seats. According to media reports at the time, NEVS founder Jiang Dalong revealed that Evergrande found Guoneng Motors after reconciling with FF. After only half a month of contact, the two parties reached a cooperation agreement.

At that time, market analysts said that Evergrande’s move may have been "sniffing", and Xu Jiayin's previous statement was a response to this suspicion.

Not only that, Evergrande’s series of large-scale, super-high-profile operations in building cars constantly convey to the outside world its determination to move forward on the car track.

Xu Jiayin personally led a team to visit the global automotive industry chain companies, investment and other news, often appear in the media.

According to reports, in 2019, Evergrande spent more than 300 billion yuan in every aspect of manufacturing new energy vehicles in less than a year. In a report, Evergrande Research Institute was even more excited to write, “Hengda has completed the closed-loop layout of the new energy automobile industry chain in a short period of time, laying the foundation for industry leaders.”

On August 3, 2020, Evergrande Motor released 6 models of "Hengchi" in Shanghai and Guangzhou at the same time, covering three SUVs, two sedans and one MPV.

At the subsequent 2020 interim results conference, Evergrande Automobile announced that it will start trial production in the first half of next year, and will achieve mass production in the second half of the year. The production and sales will reach 1 million in the next 3-5 years.

More than a month later, on September 15, Evergrande Motor announced the introduction of Tencent, Sequoia Capital, Yunfeng Fund, Didi Chuxing and other well-known investors, raising about 4 billion Hong Kong dollars. These "heavy" figures co-exist in the lineup of investors of the same company, or even a car company, and are evaluated as "extremely rare" in the industry, but if Xu Jiayin's name is engraved, it may be easier to understand.

There are more than one or two rare things. A few days later, on September 18, Evergrande Motor announced its plan to be listed on the SSE Science and Technology Innovation Board, and then the news just came out that it had accepted Haitong Securities' counseling and conducted counseling and filing with the Shenzhen Securities Regulatory Bureau.

The market does not seem to show too much surprise, this seems to have always been the "Hengda speed."

2 Talking on paper?

Not being surprised does not mean that there is no doubt.

In fact, doubts have already begun since Evergrande announced its entry into the automotive field.

According to media analysis, automobiles are a typical long-term, high-barrier industry. Every step from "R&D, production, and sales" requires a lot of manpower and capital, and every link consumes the cost of resources of the enterprise. One year’s time to realize the transition from engineering vehicles to mass production is also a big challenge for Evergrande, and "the release of six models in one go, but the lack of relevant parameters and interiors will inevitably lead to The drunkard does not mean the idea of ​​drinking."

This kind of thinking has always existed, and the outside world is worried about whether it is a "capital bureau" to land in the capital market after such a rapid advance.

Some people also cited Huatai, Hanteng, Baoneng and other companies using automobile planning in exchange for low-cost and high-quality resources as examples. They pointed out the intention behind Evergrande's sudden cross-border acquisition of a lot of land resources through the automobile business. "Enclosure" in the real estate industry.

"Hengda used to be a real estate agent. There are no people who want to make cars, no technology, no experience, no manufacturing base, no manufacturing base, nothing." Xu Jiayin once explained Evergrande in public. The road of making cars, first, buy, buy, buy; second, close together; third, circle around; fourth, big; fifth, good.

Many people in the industry have put a big question mark on this. Analyses say that only "buy, buy and buy" in car building cannot solve the problem. Having technology is only the basic condition for car building, dealers’ laying, product marketing planning, and car series Planning and quality control need to spend time to plan industrial supporting facilities, and simply "buy, buy and buy" cannot be achieved.

Regardless of whether it is true or not, Evergrande’s motive for entering the auto market is not simple, but the real estate companies occupying the top three in the real estate list have invested such a huge amount of manpower and material resources to step into another track resolutely and decisively. Enclosure and financing are so simple.

It is an indisputable fact that the golden age of real estate has passed. The entire industry is full of anxiety about transformation. This is especially true for leading companies. At present, Country Garden, which is currently the number one real estate company, has vigorously engaged in robots.

Some analysts say that Xu Jiayin has been looking for an industry that matches the scale of Hengda. In fact, as early as eight or nine years ago, Evergrande has begun the most radical diversification transformation, and has entered the grain and oil, dairy, and mineral water industries. Industry...Continue to extend its tentacles into unfamiliar consumer areas, seeking opportunities outside the real estate industry. And new energy vehicles may be what he thinks is "another industry that is as profitable as real estate."

3 Less than 30 billion, reinventing "Tesla"

In August of this year, Evergrande Health changed its name to "Hengda Automobile", which marked that the main business of Evergrande Health has become a new energy vehicle.

It is reported that Evergrande has fully benchmarked Tesla in product development and far exceeds Tesla in terms of production capacity.

"Hengda will strive to become the world's largest and most powerful new energy vehicle group within 3-5 years." This is the ambition of Xu Jiayin.

Prior to this, the official revealed that Evergrande Group is expected to continue to invest 2.7 billion in the second half of the year, mainly for equity acquisitions; the layout will be basically completed in 2021, with an estimated investment of 9 billion, mainly for research and development; sales will start after 2022, and the group will no longer Make inputs.

According to preliminary estimates, from 2019 to 2021, the group will invest RMB 29.4 billion as a whole.

In fact, it is obvious that Evergrande has invested far more than this to build a car.

At present, the current market value of Evergrande is only equivalent to 1/15 of Tesla. Some investment banks believe that with Hengchi's mass production in the second half of next year, coupled with a series of benefits such as the sci-tech innovation board, Evergrande Motor will sprint a trillion in market value.

But in two years, the Evergrande automobile, which has been built by Tesla for more than ten years and was born out of a real estate enterprise, can really copy and surpass the myth of Tesla as expected, I am afraid it will take longer to answer.


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