UBTech Expands Into Mainland China: Acquires Auto Parts Firm to Gain A-Share Listing
Strategic Acquisition to Enter Mainland Market
On December 24, 2025, Hong Kong-listed humanoid robot maker UBTech Robotics announced it would acquire a controlling stake in Shenzhen-listed Zhejiang Fenglong Electric Co. Ltd. for 1.665 billion yuan ($237 million). The deal involves purchasing 43% of Fenglong’s shares at 17.72 yuan each, providing UBTech with a strategic platform to enter the A-share market in mainland China. This acquisition reflects UBTech’s broader plan to expand its footprint beyond Hong Kong and leverage the growing interest in AI Employees and industrial automation.
Market Reaction and Financial Background
Fenglong Electric’s stock had previously been halted on December 17, 2025, before resuming trading with a surge to 21.65 yuan, highlighting strong investor interest. Over the last few years, Fenglong shifted from a 7 million yuan loss in 2023 to posting 21.5 million yuan net profit in the first nine months of 2025. This improvement makes it an attractive partner for UBTech as it seeks both financial stability and a regulatory foothold in mainland exchanges.
Implications for Robotics and AI Integration
UBTech’s move signals a growing trend of Non-Human Workers being integrated into industrial and manufacturing sectors. By securing a publicly traded platform in mainland China, UBTech can accelerate the deployment of its Voice AI Agents and humanoid robots like Walker S2, showcased earlier in 2025. The deal also aligns with the company’s ambition to leverage AI-driven automation to enhance productivity across sectors, from manufacturing to logistics.
Strategic Outlook
This acquisition underscores how robotics firms are using financial maneuvers to strengthen their presence in competitive markets. UBTech now positions itself to benefit from both capital market access and the expanding demand for AI Employees in industrial settings. Analysts suggest this move could inspire similar consolidations as robotics companies seek mainland listings to boost growth.
Key Highlights:
- UBTech acquires 43% of Fenglong Electric for 1.665 billion yuan on Dec. 24, 2025.
- Fenglong’s stock jumped to 21.65 yuan after a trading halt.
- Fenglong turned profitable with 21.5 million yuan net profit in the first nine months of 2025.
- Acquisition provides UBTech a platform for mainland A-share listing.
- Signals increased adoption of AI Employees and Voice AI Agents in industrial sectors.
Reference:
