Watson Rally announced the completion of Pre-A round of financing, led by Blue Lake Capital

On July 15, Shanghai Watson Rally Automotive Technology Co., Ltd. (hereinafter referred to as “Watson Rally”) announced the completion of tens of millions of Pre-A round of financing. The round was led by Blue Lake Capital, with participation from Haibang Venture, Pudong Venture Investment, and continued investment from its existing shareholder Chentao Capital. Yuefeng Capital (悦丰资本) served as the sole financial advisor.

Since its inception, Watson Rally has garnered significant attention from the capital markets. The company has secured the backing of strategic industry investors, market-oriented specialist funds, and top-tier state-owned enterprises, amassing over 100 million in cumulative funding.

Established in 2022, Watson Rally has focused on developing its proprietary electro-mechanical braking (EMB) system. Within just 18 months of its founding, the company has completed the design and prototype delivery of its full suite of EMB products. Watson Rally has been engaging in project collaborations with leading industry clients, continuously delivering and iterating on its products. In March this year, the company successfully completed winter calibration testing for multiple vehicle models equipped with its EMB technology. Additionally, the company has completed construction of its EPB production line in Pinghu, Jiaxing, and has initiated volume production and deliveries.

The proceeds from this round of funding will primarily support the development and delivery of EMB products, the volume production of its EPB offerings, as well as the development of its brake-by-wire control systems.

Founder Cai Xudong remarked, “We are grateful for the recognition and support from both new and existing shareholders. Watson Rally will continue to uphold our innovative spirit in product development, crafting competitive offerings constantly. At the same time, we will steadfastly maintain our rigorous and pragmatic approach to quality control, delivering high-quality, highly reliable solutions for our customers. Together with our clients, shareholders, suppliers, and industry partners, we will create shared value through reciprocal collaboration.”

Ray Hu, Blue Lake Capital’s Founder and Managing Partner commented, “We have long been observing the technology transformations within the new energy vehicle industry. EMB is a definitive next-generation brake-by-wire solution, and Watson Rally is a truly rare team in this arena, having already made impressive progress in both R&D and commercialization in a short period of time. In every exchange with the founders and the team, we have been deeply impressed by the company’s focus and execution capabilities. Blue Lake Capital is thrilled to embark on this journey alongside such an exceptional entrepreneurial team. We look forward to Watson Rally maintaining its first-mover advantage and leading the industry’s transformation.”

Blue Lake Capital, an investment firm focused on intelligent manufacturing and industrial digitalization, is highly attuned to the vast growth potential within the new energy vehicle industry supply chain. Blue Lake Capital has been actively investing in the new energy vehicle and autonomous driving supply chain in recent years. Among their invested companies, Momenta, Zelos, itimotor, and Trugotech have all achieved rapid business growth and secured follow-on funding.