Author | Zhou Zhiyu
On March 9th, the shareholders' meeting of Dongfeng Group Co., Ltd. voted overwhelmingly to approve the proposal for privatization and the introduction of Voyah to list on the Hong Kong Stock Exchange. This capital operation of &#34;privatization + spin-off of high-quality new energy assets&#34; has officially moved from proposal to implementation.
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/b4252826-68ad-404e-a9ba-ac2f685b7091.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/b4252826-68ad-404e-a9ba-ac2f685b7091.png"/>
The overwhelming approval was not unexpected; the significance of this transaction lies not in the movements of Dongfeng Motor alone, but in its pioneering effort to break the structural dilemma faced by state-owned automobile enterprises in the Hong Kong stock market.
The background of this transaction is that the capitalization function of the Hong Kong stock market for traditional automobile state-owned enterprises has nearly become ineffective. Dongfeng Group Co., Ltd.'s price-to-book ratio has long hovered at a low level, with the platform's internal combustion vehicles and new energy businesses mixed together, leading to high-growth segments being dragged down into the same pricing framework as low-valuation businesses. The shell of the Hong Kong stock market is not an asset, but a burden.
Dongfeng Motor's response is a decisive cut: privatizing the parent company to delist, achieving 100% state-owned control, shortening the governance chain, and focusing strategy on the new energy main business; separately pushing Voyah to the Hong Kong stock market, giving it an independent valuation anchor and financing channel. The parent company does subtraction, while the subsidiary does multiplication, each in its own place.
The small and medium shareholders voted in favor because the calculations make sense. Continuing to hold a comprehensive platform with dysfunctional financing and long-term discounted valuation is less appealing than accepting the proposal and betting on the value release after the spin-off.
The operational data of Voyah supports this calculation: from 2023 to 2025, sales are projected to grow from 50,000 to 150,000 units, with a compound growth rate of 73%; revenue is expected to increase from 12.75 billion yuan to 34.86 billion yuan; and by 2025, net profit is projected to be 1.02 billion yuan, with a gross margin of 20.9%, already crossing the breakeven line. This is not a money-burning incubation project, but an independent asset capable of self-sustaining. The underlying logic for shareholders voting in favor is simple: this asset deserves independent pricing.
The true significance of Dongfeng Motor's transaction lies in that it has paved a way for state-owned automobile enterprises.
State-owned enterprise reform has been called for many years, with the core contradiction always being: how to allow new energy businesses to achieve market efficiency without loosening state control? Dongfeng Motor's plan separates these two issues—100% state-owned control addresses the management issue, while the spin-off and independent listing address the efficiency issue. The two goals no longer compromise with each other but have their own channels for realization.
Insiders close to Dongfeng Motor have indicated that this year, Dongfeng Motor will continue to deepen the &#34;One Dongfeng&#34; strategy, allowing synergy among various brands. Additionally, greater autonomy has been granted to frontline business units, enabling each brand to make decisions more flexibly and act more quickly.
In the view of the aforementioned insiders, this mechanism change will be an important guarantee for Dongfeng Motor to win this transformation battle.
Of course, this plan is not something that can be copied by anyone. It has prerequisite conditions: the overall transformation of the parent company must have a solid foundation. Dongfeng Motor aims for new energy sales to exceed one million vehicles by 2025, with self-owned brands accounting for over 60%. Without these hard indicators to support it, capital maneuvering would be a mere exercise in futility
On March 19th, Voyah will be listed on the Hong Kong Stock Exchange as the &#34;first high-end new energy stock of central state-owned enterprises.&#34; For Dongfeng Motor, this is the final move in the restructuring of its capital structure; for the industry, it marks the transition of central enterprise new energy from &#34;internal incubation&#34; to &#34;capital independence,&#34; with Dongfeng Motor firing the first shot

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DONGFENG GROUP will achieve 100% state-owned control

- On March 9, Dongfeng Motor Group's shareholders approved a proposal for privatization and listing its Lantu Motors on the Hong Kong stock exchange.  
- This strategic move separates traditional and new energy segments, addressing the low valuations of state-owned car enterprises on the Hong Kong market.  
- Dongfeng’s plan enables full state control while allowing Lantu to operate independently, potentially reshaping the capital efficiency of state-owned automobile enterprises.

Dongfeng Capital's restructuring has been implemented