NIO (NIO) may not be a household name in the Western world, but it's certainly trying to be in China. The company is one of China's growing electric car makers. It focuses on smart cars that utilize connectivity technology, artificial intelligence, and autonomous driving capabilities. NIO also provides maintenance, charging stations and equipment, insurance, and similar products related to its electric vehicles. While the company doesn't sell any of its vehicles in North America yet, it has attracted the interest of investors across the globe.
The top shareholders of NIO are Bin Li, Lihong Qin, and Feng Shen, while the top institutional shareholders are Baillie Gifford & Co., Blackrock Inc., and State Street Corp. Because NIO is a foreign company, it doesn't file Form 4s for its individual insider shareholders. Below, we focus on NIO's biggest institutional shareholders.
Key Takeaways
- Nio is a China-based company that designs, produces, and sells electric vehicles.
- The company was founded in 2014 by William (Bin) Li, who serves as its chief executive officer.
- Nio is listed in Hong Kong, Singapore, and New York.
- Nio's top individual investors are Mr. Li, Lihong Qin, and Feng Shen.
- Nio's top institutional investors includes Baillie Gifford & Co., Blackrock Inc., and State Street Corp.
Nio: An Overview
Nio entered the smart electric vehicle market when it was founded in 2014 by William (Bin) Li, who is also called the "Elon Musk of China." The company designs, produces, and sells smart electric vehicles. It also develops self-driving and digital technologies, along with electric powertrains and batteries.
The automaker has several vehicles in its portfolio, including the:
- ET9, a smart electric executive flagship
- ES8, the company's flagship six-seater SUV
- ES7, a five-seater SUV
- ES6, a five-seater all-round SUV
- EC7, Nio's flagship five-seater coupe SUV
- EC6, a five-seater coupe SUV
- ET7, the company's flagship sedan
- ET5, a mid-sized sedan
- ETST, a smart electric tourer
The company went public on the New York Stock Exchange (NYSE) in 2018 and also trades on exchanges in Hong Kong and Singapore.
An individual or group who acquires more than 5% of a company's shares must file within 10 days of the transaction a 13D form, or in certain cases the simpler 13G form. Any investor filing one of these forms is considered an institutional investor.
Top 3 Individual Insider Shareholders
In this section, we'll look at the top individual owners of Nio's stock. Note that this section reflects only direct ownership and does not include any indirect ownership of shares or shares accessible through stock options.
Bin Li
Bin Li is the founder of Nio and had served as chairman of the board since the company's inception. He became the chief executive officer in March 2018. In 2000, Mr. Li co-founded Beijing Bitauto E-Commerce Co., Ltd. and served as its director and president until 2006. From 2010 to 2020, Mr. Li served as chairman of the board of directors at Bitauto Holdings Limited, a former NYSE-listed automobile service company and a leading automobile service provider in China. Mr. Li owns 30,467,776 Class A ordinary shares and 148,500,000 Class C ordinary shares for a total ordinary ownership share total of 178,967,776. This represents approximately 8.5% of total beneficial ownership.
Lihong Qin
Mr. Lihong Qin is also a co-founder of the company and has served as its director and president since its inception. Before joining Nio, Mr. Qin held positions as chief marketing officer and executive director at Longfor Properties Co., Ltd. from 2008 to 2014. Prior to that, he was the deputy general manager at Anhui Chery Automobile Sales and Service Company from 2005 to 2008, and served as a senior consultant and project manager at Roland Berger Strategy Consultants from 2003 to 2005.
Mr. Qin is listed as the second highest individual shareholder as part of Nio's annual reporting. However, because Mr. Qin owns less than 1% of total shares, the exact number of Class A or Class C shares is not disclosed.
Feng Shen
Mr. Feng Shen joined Nio in December 2017 and currently serves as its executive vice president and chairman of the quality management committee. Prior to joining, Mr. Shen held several senior executive management roles. Mr. Shen received his bachelor's degree in mathematics and mechanics and a master's degree in applied mechanics from Fudan University in 1984 and 1987, respectively. He also earned a doctoral degree in mechanical engineering from Auburn University in 1996.
Similar to Mr. Qin, the exact amount of shares owned by Mr. Shen is not disclosed in Nio's annual report. However, Mr. Shen is listed third on the list of top individual shareholders, and it is noted that his ownership stake represents less than 1% of all outstanding shares.
Top 3 Institutional Investors
The calculations below are based on the total number of outstanding shares as of Nio's 2023 annual reporting filing. Nio stated it has 2,087,029,186 ordinary shares outstanding.
Baillie Gifford & Co.
Baillie Gifford & Co. owns 114.6 million shares of NIO stock, representing about 5.5% of shares outstanding, according to Nasdaq as of the end of the year.
Baillie Gifford manages a diverse set of mutual funds and had more than £225 billion in AUM across a range of asset classes at the end of 2023. The Baillie Gifford International Growth Fund 2 is one of its largest funds. The fund holds just under 3.1 million shares of NIO, representing about 0.93% of the fund's value.
Insider refers to people in senior management positions and members of the board of directors, as well as people or entities that own more than 10% of the company's stock. In this context, it has nothing to do with insider trading.
BlackRock
BlackRock owns about 62.6 million shares of NIO stock, representing about 4.8% of shares outstanding, according to a 13F filing for the period ending Nov. 14, 2022.
The company primarily manages mutual funds and exchange-traded funds (ETFs) with approximately $10 trillion in AUM at the end of 2023. BlackRock's iShares Core MSCI Emerging Markets ETF (IEMG) holds NIO. NIO represents about 0.07% of the fund's portfolio.
State Street Corp
State Street Corp owns approximately 21.5 million shares as of 12/31/2023. This represents just over 1% of all outstanding shares of Nio.
State Street Corp is a global leader that offers investment servicing, investment management, and financing. It services nearly 10% of the world's assets and offers electronic trading platforms. At the end of 2023, State Street Corp had $4.1 trillion of assets under management. State Street Corp's fund SSTIX (State Street Total Return V.I.S. Fund - Class 1) holds 24,623 shares.
When Was Nio Founded?
Nio was founded in November 2014.
What Distinguishes Nio From Other Electric Vehicle Manufacturers?
Nio has established itself as an industry leader for battery swapping technologies. It cites its "battery-as-a-service", or BAAS, as a technological breakthrough.
How Many Different Vehicles Does Nio Produce?
The company technically has a portfolio of nine different vehicles that range from tourer vehicles, SUVs, sedans, and executive vehicles.
The Bottom Line
NIO is a prominent Chinese electric car maker focused on smart vehicles integrating connectivity, AI, and autonomous driving technologies. Although not currently selling in North America, it has garnered global investor interest. The top institutional shareholders of NIO include Baillie Gifford & Co., Blackrock Inc., and State Street Corp., reflecting significant external investment in the company by institutions.
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