A document submitted by the Petroleum of Thailand (PTT) to the Stock Exchange of Thailand (SET) indicates that its wholly-owned subsidiary Arun Plus and Kymco will establish a new joint venture company, "Aionex," to promote the two-wheeled electric vehicle comprehensive solutions business, including the development, production, and sales of electric vehicles and electric vehicle energy infrastructure.
The document states that the new joint venture, "Aionex," will be held 51% by Arun Plus, 29% by Kwang Yang, and 20% by Kymco Capital Private Equilty Management (KC), Kwang Yang's venture capital arm. Because the transaction does not involve any changes in the ownership of Petrothailand, and the joint venture amount does not reach a size that requires public disclosure, the capitalization of the new company was not disclosed.
Aionex is expected to be established in the third quarter of this year and officially begin operations before the end of the year. It will be responsible for promoting the comprehensive two-wheeled electric vehicle solution business in Thailand. This will not only include the development, production and sales of electric vehicles and electric vehicle energy infrastructure, but will also combine the resources and expertise of Thai National Petroleum Corporation to build a complete two-wheeled electric vehicle ecosystem and achieve a leading position in the two-wheeled electric vehicle industry in Thailand and the Association of Southeast Asian Nations.
Kymco has long planned to invest in promoting the development of the two-wheeled electric vehicle industry in the Southeast Asian market, and also plans to promote the growth of new energy applications. In addition to its previous cooperation with Indonesian mobile service provider Grab, it has now deepened its cooperation with the Thai National Petroleum Corporation to establish "Aionex" through a joint venture with its wholly-owned subsidiary Arun Plus, which also means that it will expand its layout in the development of the two-wheeled electric vehicle industry in Southeast Asia.
In addition, Kymco's joint venture with Arun Plus to establish "Aionex" is also in line with the New Southbound Policy currently being implemented by the Taiwanese government. In addition to producing and selling two-wheeled electric vehicles locally in Thailand, it will also strategically invest and build an ecosystem to enter the Thai market. Considering that Thailand is currently the second largest economy in Southeast Asia after Indonesia, Kymco will be able to leverage this to consolidate its advantages in the development of two-wheeled electric vehicles in Southeast Asia and have the opportunity to connect with more development opportunities in the Southeast Asian market.
In addition to expanding its presence in Southeast Asia, Kymco has previously announced plans to promote sales of Ionex models in European countries such as the UK, France, Italy, and Sweden. It has also subsequently formed the Ionex EV League strategic alliance with FELO Technology and Super SOCO in the Chinese market. This entry into Thailand, which it plans to use as a springboard for its expansion into Southeast Asia, further underscores Kymco's plans to accelerate its transition from oil-to-electric vehicles to green energy.
