#China #Beijing #Autozi #Growth Strategy #Stock Purchase

Autozi's Strategic Confidence Boost: A $30 Million Share Purchase Plans

In a significant move, Autozi (Stock Code: AZI), a frontrunner in the cloud-based supply chain platforms for the automotive sector in China, recently garnered headlines with the announcement of a share purchase plan initiated by its founder and controlling shareholder, Dr. Zhang Houqi. The plan entails an investment of between $10 million and $30 million for Autozi shares, expected to be executed over the next year at a price of $5 per share.

This initiative not only demonstrates Dr. Zhang’s unwavering confidence in Autozi’s growth trajectory but also serves as a defining moment for the company as it strives to solidify its standing in the current economic climate. As the only Nasdaq-listed company in China's auto parts industrial internet domain, Autozi has faced its fair share of challenges, especially since listing on the U.S. market. At one point, its stock price had plummeted, even landing the company in a delisting hearing process due to non-compliance with minimum share price requirements.

However, the resilient Autozi team has reacted promptly to these challenges, leveraging their established strengths in technology and operational expertise to address compliance issues related to its listing status. On January 14, 2026, Autozi received a compliance notice from Nasdaq, allowing the cancellation of a scheduled delisting hearing and paving the way for future development.

A Robust Three-Year Strategic Framework

In the face of adversity, Autozi has reorganized its approach and introduced an ambitious three-year strategic framework termed 'Turn to Profit, Deepen in China, Expand Overseas.' This comprehensive strategy focuses on three key areas:

1. Profit Transformation Initiative: The company is prioritizing a thorough transformation that aims to enhance efficiency in core business areas, ensuring a pathway to profitability and substantive positive cash flow. The aim is to create a model that maintains minimal assets while emphasizing intensive operations.

2. Domestic Market Expansion: In targeting the automotive maintenance parts sector, Autozi plans to integrate high-quality regional supply chain providers across 30 Chinese provinces and municipalities. This initiative is set to create the nation’s first nationwide maintenance parts supply chain, supported by an extensive database housing over 100,000 vehicle models and 10 million+ part SKUs.

3. Overseas Business Breakthrough: Autozi is embarking on international endeavors through its special purpose vehicle (SPV) initiative, seeking to establish a digital cross-border supply chain platform. This initiative will integrate global supply chain resources and build a worldwide distribution network, replicating its successful domestic model abroad within three years.

Founded in 2010 by Dr. Zhang, a former Vice President of Lenovo, Autozi has cultivated a comprehensive ecosystem that includes auto parts supply, vehicle supply, and insurance services, over the past 15 years. With service support for over 100,000 repair shops and an annual gross merchandise value exceeding 10 billion RMB, the firm boasts a rich reservoir of industry expertise and digital acumen.

The strategic plan not only garnered positive feedback from industry allies and investors but also solidifies Dr. Zhang’s personal commitment to Autozi’s strategic direction through his impending share purchase. Investors recognize that while these forward-looking statements reveal potential, they are subject to risks and uncertainties that could impact actual outcomes. Therefore, the journey ahead for Autozi offers both promise and the challenge of navigating a complex market landscape.

Despite the hurdles encountered, Autozi's recent endeavors reflect a positive trajectory towards transforming the future of its business, driven by confidence from its leadership and strategic objectives focused on sustainable growth in both the domestic and international markets.