Earlier today, news broke the fact that Xpeng, a China-based electric vehicle company, raised $ 500 million, adding $ 400 million to its C series in the 2019 era. The round, a C + Series investment, brings the company's capital raised to date at around $ 2.2 billion.
Xpeng's massive fundraising follows a recent boom in the value of some public electric vehicle companies, including Tesla, Nio and Nikola. Speculation about the future value (and therefore the present value) of electric vehicle companies led to their ranking on lists of the most popular stocks with some retail investors, underlining their popularity.
The exchange explores startups, markets and money. You can read it every morning on Extra Crunch or receive it for free in your inbox. Sign up for The Exchange newsletter, which expires on Saturday starting July 25th.You could anticipate that public market enthusiasm is helping to drive large private investments in global electric vehicle startups. After all, it is often true that public market activity has an impact on the private market enterprise; if the shares of a particular sector increase sharply, the value of their private acquaintances can increase in a similar way and investments in the sector can accelerate.
After reading about the Xpeng round this morning, the event was likely an integral part of the increase in business volume for private electric vehicle companies. In honor of scratching our itches with data whenever possible, ProWellTech has decided to dig and find out.
So, is public market optimism in electric vehicle companies driving more investment in private electric vehicle companies?
What the data say
To test whether investments in electric vehicles are increasing or decreasing among private companies, The Exchange today launched a series of queries on Crunchbase data, examining the shifts for companies marked as "electric vehicles" in its data, updating crowdfunding , secondary market activity, all stakes - IPO Round and any other round of inequality.
Here is what we found:
- 2020: $ 3.61 billion from 63 rounds [query].
- 2019: $ 6.98 billion from 151 rounds [query].