| Long-term Investments |
5. Long-term investments The Company’s long-term investments as of June 30, 2025 and December 31, 2024, are summarized as follows (figures are in thousands of USD): | | | | | | | | | June 30, 2025 | | December 31, 2024 | Limited Partnerships: | | | | | | | Hubei Qingyan Venture Capital Fund L.P. (1) | | $ | 11,813 | | $ | 14,294 | Chongqing Qingyan Venture Capital Fund L.P. | | | 12,410 | | | 12,426 | Suzhou Qingshan Zhiyuan Venture Capital Fund L.P. | | | 7,289 | | | 7,300 | Suzhou Mingzhi Intelligent Manufacturing Industry Investment Fund L.P. | | | 2,993 | | | 3,036 | Suzhou Qingyan Venture Capital Fund L.P. | | | 1,257 | | | 1,654 | Subtotal - Investments in limited partnerships | | | 35,762 | | | 38,710 | Corporations: | | | | | | | Sentient AB | | | 18,658 | | | 19,224 | Bebest (Shanghai) Automotive Electronics Co., Ltd. | | | 2,794 | | | 2,782 | Shanghai IAT International Automotive Technology Co., Ltd. | | | 1,272 | | | 1,316 | Jingzhou Jinyu Hotel Management Co., Ltd. (2) | | | 2,062 | | | 974 | Hubei Henglongtianyu Pipe system Co., Ltd. | | | 632 | | | 689 | Jiangsu Intelligent Connected Vehicle Innovation Center Co., Ltd. | | | 696 | | | 637 | Subtotal - Investments in corporations | | | 26,114 | | | 25,622 | Total | | $ | 61,876 | | $ | 64,332 |
Investment in Limited Partnerships: | (1) | In March 2018, Hubei Henglong entered into an agreement with other parties to establish a limited partnership, the “Hubei Venture Fund”. As of June 30, 2025, Hubei Henglong owned 28.5% of Hubei Venture Fund’s equity. As a limited partner, Hubei Henglong has more than virtually no influence over the Hubei Venture Fund’s operating and financial policies. The investment is accounted for using the equity method. The Company’s share of the losses recognised from Chongqing Venture Fund for the period ended June 30, 2025 was $0.2 million. The Company also received $2.2 million in dividends from the fund, offsetting the cost of the investment. |
Investment in Corporations: | (2) | In October 2024, Hubei Henglong entered into an agreement with other parties to establish an associate company, Jingzhou Jinyu Hotel Management Co., Ltd, “Jingzhou Jinyu”. The Company subscribed 14.5% of the equity in Jingzhou Jinyu with a total consideration of RMB 15.0 million, equivalent to approximately $2.1 million, among which RMB 7.0 million, equivalent to approximately $1.0 million, and RMB 8.0 million, equivalent to approximately $1.1 million, were paid in 2024 and 2025, respectively. The Company can exercise significant influence over Jingzhou Jinyu’s operating and financial policies, therefore accounted for the investments by using the equity method. |
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