Banker Joins E-Car Venture -- WSJ
02 March 2018 - 7:02PM
Dow Jones News
By Julie Steinberg
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (March 2, 2018).
One of JPMorgan Chase & Co.'s top bankers in Asia is making
the leap to China's surging electric-vehicle sector.
Brian Gu, JPMorgan's chairman of Asia Pacific investment
banking, is leaving to join Chinese electric-car manufacturer
Xiaopeng Motors, said people familiar with the matter. The
45-year-old will join as vice chairman and president and lead the
Guangzhou-based startup's global strategy, fundraising and
international partnerships, the people said.
Mr. Gu will retain some ties to the bank, serving on an Asia
advisory council as an adviser to JPMorgan, the people said.
The company, also known as Xpeng, is backed by Chinese
e-commerce giant Alibaba Group Holding Ltd. and Foxconn Technology
Group, which co-led a 2.2 billion yuan ($347 million) funding round
in January that included other investors.
Xpeng was co-founded in 2014 by former Alibaba executive He
Xiaopeng, who is its chairman. The company is preparing to start
sales of its first electric cars in the second half of this year,
after showcasing an electric sport utility vehicle in January
during the Consumer Electronics Show in Las Vegas.
Xpeng also plans to raise more than $1 billion in additional
funding this year, after raising $790 million so far, executives
have said.
Alibaba and two other Chinese internet giants, Tencent Holdings
Ltd. and Baidu Inc., have invested billions into electric vehicles
and autonomous driving startups.
Mr. Gu, who has worked as a banker for two decades, will start
at Xpeng around the end of March. A top China banker, he advised on
Alibaba's $25 billion initial public offering in 2014;
financial-technology giant Ant Financial Services Group's $4.5
billion private fundraising in 2016; and Chinese smartphone company
Xiaomi Corp.'s $1 billion syndicated loan financing in 2014.
He is joining Xpeng at a time of growth for the company and the
industry. Sales of electric passenger cars in China rose 72% to
578,000 last year, four times the number sold in the U.S. Chinese
manufacturers have been supported by government subsidies and
consumers are incentivized to buy electric vehicles, which produce
less pollution.
Mr. Gu, who joined JPMorgan in Hong Kong in 2004, has also
served as the bank's co-head of Asia Pacific mergers and
acquisitions and co-head of the technology, media and
telecommunications group, among other positions. He was also
co-head of China investment banking.
Before becoming a banker, Mr. Gu was a senior research scientist
at the University of Washington Medical School, from which he holds
a Ph.D. in Biochemistry.
Liza Lin contributed to this article.
Write to Julie Steinberg at julie.steinberg@wsj.com
(END) Dow Jones Newswires
March 02, 2018 02:47 ET (07:47 GMT)
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