Li Auto has announced equity financing totaling RMB1.625 billion for Shanghai Mahe Xin Technology Co., Ltd. (MHX Technology), its subsidiary focused on chips and domain controllers.
Under the subscription agreements, Li Auto will invest RMB1 billion through a wholly owned subsidiary, while external investors will contribute RMB625 million. The investors named in the announcement include Hangzhou Jingtao, Lanchi Ventures, Huaye Tiancheng and MiraclePlus.
The financing remains subject to customary closing conditions.
Additional Investment Option of Up to RMB500 Million
Hangzhou Jingtao Additional Investor has also received a one-time right to invest up to a further RMB500 million in MHX Technology by December 31, 2026. The additional investment would be made at the same price per unit of increased registered capital as the current financing.
The company will also introduce two share incentive plans for employees and other key contributors.
Assuming both incentive plans are fully utilised and the additional investment right is exercised in full, Li Auto, the external investors and entities administering the incentive plans are expected to hold approximately 74.01%, 6.58% and 19.41% of MHX Technology, respectively.
Li Auto said it will continue to control MHX Technology and consolidate the subsidiary’s financial results following the financing.
Funding to Support Research and Commercialisation
MHX Technology was established as a dedicated platform for Li Auto’s chip and domain controller business. The company said the structure is intended to support research and development, commercialisation and potential opportunities in sectors beyond automotive applications.
The new capital is expected to fund further development of the subsidiary’s technologies and commercial activities. The share incentive plans are intended to support the recruitment and retention of employees and align their interests with the business’s longer-term development.
The announcement did not specify how the RMB1.625 billion financing will be allocated across individual research programmes, products or commercialisation projects.
Further details were included in Li Auto’s announcement published on the website of the Hong Kong Stock Exchange on October 16, 2026.
