ECARX to acquire Flyme software in a deal worth $266M

• ECARX agreed to acquire 100% of the Flyme software business for RMB1.8 billion.
• The transaction is funded through 70% bank loans and 30% internal cash sources.
• The acquisition will establish an independent software division to scale vehicle operating systems.

ECARX (NASDAQ:ECX) signed a definitive agreement to acquire the Flyme software business for RMB1.8 billion ($266 million)

The targeted Flyme Auto operating system platform is already deployed in over 2 million vehicles.

Management accounts indicate that the software platform has become profitable in 2026.

The independent software division will obtain all key assets free of legacy liabilities within six months.

Following the announcement, ECARX's share price was up at $1.28.

Syndicated bank loans spanning a 10-year term will provide 70% of the acquisition funding.

ECARX plans a subsequent capital injection of RMB200 million into the newly acquired unit.