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Phoenix Motor Inc Forms Subsidiary for EV Expansion

Story Highlights
  • Phoenix Motor Inc. will establish a subsidiary in China to manufacture EV platforms.
  • The agreement includes a 10-year exclusive license and potential acquisition of Enbowei.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Phoenix Motor Inc Forms Subsidiary for EV Expansion

Elevate Your Investing Strategy:

The latest update is out from Phoenix Motor Inc ( (PEVM) ).

On June 26, 2025, Phoenix Motor Inc. entered into a Cooperation Agreement with Shandong Maolin Sida Automobile Co., Ltd., Mengzhou Enbowei Automobile Technology Co., Ltd., and Enbowei’s individual shareholders to establish a wholly owned subsidiary in Mengzhou, China. This subsidiary will manufacture and sell EV platforms under a 10-year exclusive license, with Enbowei providing manufacturing facilities free of charge for the same period. The agreement outlines a gradual increase in license fees and allows Phoenix to potentially acquire a majority stake in Enbowei after five to ten years of operation, enhancing its strategic position in the Chinese EV market.

Spark’s Take on PEVM Stock

According to Spark, TipRanks’ AI Analyst, PEVM is a Underperform.

Phoenix Motor Inc. is facing substantial financial challenges with negative equity and declining revenues. Technical indicators and valuation metrics offer no compelling upside. The lack of new earnings guidance adds to the uncertainty, resulting in a low overall score.

To see Spark’s full report on PEVM stock, click here.

More about Phoenix Motor Inc

Phoenix Motor Inc. operates in the electric vehicle (EV) industry, focusing on the manufacturing and sale of EV platforms.

Average Trading Volume: 679,000

Technical Sentiment Signal: Sell

Current Market Cap: $7.39M

For an in-depth examination of PEVM stock, go to TipRanks’ Overview page.

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