Hitch Capital Coordinates EV Motors’ IPO on BME GrowthMadrid

October 14, 2024

EV Motors, parent company of the historic automotive brand Ebro and partner of Chinese manufacturer Chery, has successfully debuted on BME Growth, posting a 20% gain on its first trading day, closing at €8.25 per share. This milestone was made possible thanks to a €40 million capital increase carried out in July 2024, which followed a previous €18 million raise executed a year earlier. With a free float of 25%, the company aims to consolidate its position in the automotive sector and attract new investors to support its expansion plans.

The IPO was coordinated by Hitch Capital, which led to the integration of all key stakeholders in the process, including auditors, legal advisors, underwriters, and financial consultants. Thanks to a structured execution aligned with market standards, EV Motors successfully joined BME Growth

A Key Step in EV Motors’ Growth

Over the next five years, EV Motors plans to invest €300 million to adapt its assembly lines for electric vehicles, establish a new paint line, and enhance its sales and after-sales network. In this context, going public enables the company to accelerate its growth and increase its level of professionalization.

Pedro Calef, CEO of Ebro, emphasized the importance of this milestone: “The IPO will help us accelerate growth and elevate the professionalization of our company.”

In terms of production, EV Motors has set a target of reaching 20,000 units in 2025, including Ebro models and the electric version of Chery’s Omoda 5, which will begin production at the Barcelona plant by the end of next year. By 2029, the company expects accelerated growth that will allow it to exceed 130,000 units sold.

Impact on Reindustrialization and Employment

As part of its commitment to reindustrializing Barcelona’s Zona Franca area, EV Motors has signed permanent contracts with 500 former Nissan employees, with the goal of reaching 1,250 jobs in the short term. Furthermore, the company has reaffirmed its commitment to maintaining sustainable growth, aligned with global trends in the automotive sector.

Ebro Secures €40 Million to Reindustrialize the Former Nissan Plant with Hitch Capital’s Advisory

Barcelona, August 2, 2024 – Automotive company Ebro, in alliance with Chery, has completed a €40 million capital increase aimed at boosting the reindustrialization of the former Nissan plant in the Zona Franca area of Barcelona.

The operation involved Andbank España as the coordinating and placing bank, with advisory from Cuatrecasas, GAP, Deloitte, and RSM. Additionally, Hitch Capital played a key role in structuring and coordinating the financial process, enabling Ebro to secure investor backing and strengthen its growth.

A Key Operation for Reindustrialization

The capital increase attracted 400 investors, solidifying interest in this ambitious project. The transaction was led by Andbank España as the coordinating and placing bank, and was oversubscribed by more than 1.3 times, reflecting market confidence in the company’s growth plan. Ebro’s CEO, Pedro Calef, expressed his satisfaction with the reception of the operation: “We are very pleased with the interest our industrial project has generated among investors, which adds to the trust placed in us by institutions and the promising prospects demonstrated by our alliance with Chery to manufacture vehicles in Spain.”

Investment Goals and Future Plans

With this capital injection, Ebro plans to begin production of its first electric models in the final quarter of the year, alongside Chery, which will be the first Chinese car manufacturer to produce in Europe. Additionally, the company is exploring the possibility of an IPO on BME Growth, aiming to continue raising funds for its expansion.

Ebro and Chery’s plans include a total investment of €400 million, with the goal of reaching 50,000 units produced by 2027, and 150,000 vehicles by 2029. Furthermore, the initiative is expected to generate 1,250 direct jobs, thus consolidating an important industrial hub in the Zona Franca.

A Promising Future for Sustainable Mobility.

Ebro, which has revived the historic Spanish vehicle brand, will manufacture two SUV models, the S700 and the S800, while Chery will begin production with the Omoda 5, followed by electric versions like the Jaecco 7.

Hitch Capital Advises on Negotiations for the Signing of a JV Between Ebro and Chery in the Zona Franca

Barcelona, April 16, 2024 – Chinese automotive group Chery and Spanish company EV Motors, which is leading the reindustrialization of the former Nissan plant in Barcelona, have reached an agreement that will allow the Chinese firm to manufacture vehicles at the Catalan facilities. This deal was advised by Hitch Capital, which supported the structuring of the alliance between both companies.

A Strategic Alliance for the European Automotive Industry

After intense negotiations in Wuhu, Chery’s headquarters, a deal was sealed, resulting in the creation of a joint venture, majority-owned by Ebro, a subsidiary of EV Motors. This new entity will be responsible for coordinating operations and activities at the Zona Franca plant in Barcelona, reinforcing the commitment to reindustrialization and sustainable mobility in Spain.

The agreement was signed by Pedro Calef, CEO of Ebro, and Guibing Zhang, Executive Vice President of Chery Automobile. The official signing ceremony of the investment will take place this Friday at the facilities, with the expected attendance of the Prime Minister of Spain, Pedro Sánchez, along with representatives from the Government of Catalonia and the Barcelona City Council.

A Key Step for Electric Vehicle Manufacturing in Spain

With this agreement, Chery becomes the first Chinese company to manufacture cars in Spain and Europe, at a time when Chinese automakers are increasing their presence in the European market.

The project includes the start of production of the electric Omoda 5 model at the plant, followed by the launch of Ebro’s first model in the fourth quarter of the year.

Roger Torrent, Catalonia’s Minister of Business, who oversaw the final stage of the negotiations in China, celebrated the agreement as a milestone in the reindustrialization process of the Zona Franca.

This agreement strengthens Barcelona’s position as a strategic automotive production hub and highlights the growing importance of electric mobility in Europe.