Self-driving technology firm Nullmax has bagged 780 million yuan (106.8 million) in a Series B funding round led by Shenzhen-listed Internet information service provider Shanghai Stonehill Technology.
Stonehill Technology Limited, a British Virgin Islands-registered company set up by Ye Ke and Fu Yaohua, who are the actual controller of the Shenzhen-listed Stonehill Technology, re-upped in the Series B round, alongside other undisclosed participating investors.
With the proceeds, the firm is set to expand its team, as well as its manufacturing capacity to meet the rising demand of autonomous-driving vehicles, according to a company release on Thursday. The Shanghai-headquartered firm added that it will also spruce up its R&D, among others.
Post-financing, Nullmax will become a subsidiary of Shanghai Stonehill Technology, the firm noted in the release.
The fundraising announcement comes one-and-a-half month after the Shenzhen Stock Exchange expressed its “great concern” over Nullmax’s financial health, among other things in an inquiry letter dated September 1, as the firm recorded zero operating revenue during 2022 and the first six months of 2023.
The net loss was around 72.3 million yuan ($9.9 million) and 37.1 million yuan ($5.1 million) during the said periods, respectively.
In a 91-page-long response filed by Shanghai Stonehill Technology on September 13, the firm estimated that it will reach a positive gross margin in the year 2025.
Founded in Silicon Valley in 2016, Nullmax previously sealed a pre-Series A funding round led by automotive electronics products maker Desay SV Automotive Electronics in 2019, at a pre-money valuation of $95 million, per exchange filing. Most recently, the firm completed a Series A funding led by FutureX Fund in 2021 at a pre-money valuation of $195 million.
Nullmax adopts a machine learning-first approach when developing autonomous driving solutions including MaxDrive, which claims to be an all-in-solution encompassing driving and parking functions on a single chipset, according to its website.
The firm currently counts major automotive manufacturers including SAIC Motor, Chery Automobile, Beijing Jingwei Hirain Technologies, and Desay SV Automotive Electronics as its clients, per an exchange filing dated September 21.
