Saic Motor Corporation Limited (ASX: 600104) has announced that several of its subsidiaries plan to participate in the capital expansion of a private equity fund.

The subsidiaries involved are Shanghai Automotive Group Financial Management Co., Ltd., Huayu Automotive Systems (Shanghai) Co., Ltd., Donghua Automotive Industrial Co., Ltd., and Shanghai New Power Automotive Technology Co., Ltd. They will join other entities, including Shanghai Guotou Xiandao Integrated Circuit Private Equity Investment Fund Partnership (Limited Partnership), in expanding the Shanghai Shangqi Shangcheng No. 2 Private Equity Investment Fund Partnership (Limited Partnership).

The total committed capital for this fund will increase from 2.5 billion yuan to approximately 3.39 billion yuan. Specifically, the commitment from Shanghai Automotive Group Financial Management will rise from 1 billion yuan to 1.2 billion yuan. The other three subsidiaries will commit 300 million yuan, 100 million yuan, and 100 million yuan, respectively.

The company stated that this participation in the industrial investment fund's expansion is based on ensuring daily operations and the development of its core business. It aligns with the company's main responsibilities and overall strategic plan, aiming to continuously enhance the industrial chain and ecosystem for intelligent electric vehicles and advance the layout of more forward-looking technologies.

The move is intended to play a crucial role in strengthening, supplementing, and extending the industrial chain as the company accelerates the formation of new quality productive forces.