On the evening of November 19, Loncin Motor announced that, in order to meet the company’s future business development and asset integration needs, it plans to increase the capital of its wholly-owned subsidiary, Chongqing Xin Loncin Electromechanical Co., Ltd., by no more than RMB 1.65 billion.
The capital increase will be made mainly through a combination of real estate and cash contributions to Xin Loncin Electromechanical. For the non-cash portion, the company will contribute 18 real estate properties located in Area B of its plant at No. 99 Hualong Avenue, Jiulongpo District, Chongqing, valued at RMB 289.9755 million, as assessed, to Xin Loncin Electromechanical. The cash portion involves a contribution of up to RMB 1.3600245 billion in cash, funded entirely from the company’s own resources, with no involvement of raised funds.
After the capital increase, Xin Loncin Electromechanical’s registered capital will rise from RMB 10 million to no more than RMB 1.66 billion, and it will remain a wholly-owned subsidiary of the company.
It is reported that Xin Loncin Electromechanical was established on April 1, 2025, with both its registered and primary office address at No. 99 Hualong Avenue, Jiulongpo District, Chongqing. Its main business scope includes the manufacturing and sales of generators and generator sets, manufacturing and sales of agricultural machinery, research and development of emerging energy technologies, energy storage technology services, and manufacturing and sales of power electronic components.
As of the date of the announcement, Xin Loncin Electromechanical has not yet commenced operations and has no relevant financial data.
Source：EnergyTrend